(Bloomberg) — European Union bonds could pose a threat to Dutch bonds if they are reclassified as sovereign securities by index providers, said the head of the nation’s treasury agency.
The government would prefer it if EU bonds continue to be treated as supranational debt, Saskia van Dun, head of the Dutch State Treasury Agency, said in an interview with Bloomberg, thereby avoiding any competition with bonds sold by member states.
The EU has been advocating for its bonds to be treated as government debt so that it can access a wider pool of investors. Officials have said that would help lower borrowing costs, which remain higher than the Netherlands’ despite having the same credit rating.
“I know that the Dutch government is not in…