When it comes to global finance, bond markets are some of the most important and influential markets around the world. Bonds are financial instruments used by governments, corporations, and other entities to raise capital, and are traded on the bond market. The size of a bond market can indicate the size and strength of a country’s economy, as well as its ability to meet financial obligations.
Here is a list of the largest bond markets in the world, as ranked by total market capitalization as of 2019.
1. United States: $40.3 Trillion
The United States boasts the largest bond market in the world with a total market capitalization of $40.3 trillion. This is the largest bond market by far, and it is composed of both US government debt, as well as corporate bonds.
2. Japan: $11.7 Trillion
Japan’s bond market is the second-largest in the world and is composed of both government and corporate debt. Japan’s bond market has grown significantly in recent years as the country’s economy has grown and its government has become a major borrower.
3. Germany: $6.2 Trillion
Germany’s bond market is the third-largest in the world and is composed of both government and corporate debt. Germany is the largest economy in the European Union and its bond market has grown significantly in recent years.
4. United Kingdom: $5.5 Trillion
The United Kingdom’s bond market is the fourth-largest in the world and is composed of both government and corporate debt. The UK’s bond market has grown significantly in recent years, as the country’s economy has grown and its government has become a major borrower.
5. France: $4.3 Trillion
France’s bond market is the fifth-largest in the world and is composed of both government and corporate debt. France is the second-largest economy in the European Union and its bond market has grown significantly in recent years.
6. China: $4.2 Trillion
China’s bond market is the sixth-largest in the world and is composed of both government and corporate debt. China’s bond market has grown significantly in recent years as the country’s economy has grown and its government has become a major borrower.
7. Italy: $3.3 Trillion
Italy’s bond market is the seventh-largest in the world and is composed of both government and corporate debt. Italy’s bond market has grown significantly in recent years as the country’s economy has grown and its government has become a major borrower.
These are the seven largest bond markets in the world, as ranked by total market capitalization. Bond markets play a critical role in global finance and these seven markets are some of the most influential and important markets in the world.
