Key Charts - Size and Structure
Breaking Tradition: Euro Area Moves Toward Bonds
- European companies, long dependent on bank lending for financing, have increasingly turned to bonds in place of loans.
- Outstanding debt securities eclipsed 1 trillion euros in 2013 and now account for 21 percent of non-financial corporate debt, compared with only 12 percent in 2008.
- Small and medium-sized businesses have not been able to access corporate debt markets due to their scale, but the trend toward a diverse financial system with more robust capital markets is promising.
Sources: BIS, Milken Institute.