According to Global Debt Report 2025, what was the share of central bank holdings of domestic sovereign bonds in OECD countries in 2024?

Correct option is B

The correct answer is: (B) 19%

Explanation:

•  According to the Global Debt Report 2025 released by the OECD, the share of central bank holdings of domestic sovereign bonds in OECD countries declined to 19% in 2024, down from 29% in 2021.
• This shift reflects a move from quantitative easing to quantitative tightening, with central banks reducing their role in sovereign bond markets.

Information Booster:

• Central bank share dropped from 29% (2021) to 19% (2024).
• The decline occurred as part of post-pandemic monetary tightening.
• Foreign investors’ share of domestic sovereign bonds rose to around 34%.
• Household holdings also increased to approximately 11%.
• The reduction in central bank involvement puts more responsibility on private and foreign investors.