Government bonds (also called sovereign bonds, gilts, or Treasuries) are debt securities issued by national governments to finance public spending. In 2026, with central banks maintaining interest rates well above the historic lows of 2020-2021, government bonds offer yields that haven't been seen in over a decade.
This guide covers current yields for the world's major sovereign bonds, organized by region and currency so you can compare returns without currency risk where relevant.
Government Bond Yields by Country: Full Table (April 2026)
Eurozone — No Currency Risk (EUR)
| Country | Bond | Maturity | Yield | Min. Investment |
|---|---|---|---|---|
| 🇩🇪 Germany | Bund 2Y | 2 years | 2.45% | €1,000 |
| 🇩🇪 Germany | Bund 5Y | 5 years | 2.58% | €1,000 |
| 🇩🇪 Germany | Bund 10Y | 10 years | 2.68% | €1,000 |
| 🇫🇷 France | OAT 10Y | 10 years | 3.18% | €1,000 |
| 🇪🇸 Spain | Bono 2Y | 2 years | 2.85% | €1,000 |
| 🇪🇸 Spain | Bono 10Y | 10 years | 3.35% | €1,000 |
| 🇮🇹 Italy | BTP 2Y | 2 years | 2.95% | €1,000 |
| 🇮🇹 Italy | BTP 10Y | 10 years | 3.72% | €1,000 |
| 🇵🇹 Portugal | OT 10Y | 10 years | 3.08% | €1,000 |
| 🇬🇷 Greece | GGB 10Y | 10 years | 3.42% | €1,000 |
| 🇳🇱 Netherlands | DSL 10Y | 10 years | 2.72% | €1,000 |
United Kingdom — Gilts (GBP)
| Bond | Maturity | Yield | Min. Investment |
|---|---|---|---|
| Gilt 1Y | 1 year | 4.45% | £100 |
| Gilt 2Y | 2 years | 4.32% | £100 |
| Gilt 5Y | 5 years | 4.38% | £100 |
| Gilt 10Y | 10 years | 4.68% | £100 |
| Gilt 30Y | 30 years | 5.12% | £100 |
United States — Treasuries (USD)
| Bond | Maturity | Yield | Min. Investment |
|---|---|---|---|
| T-Bill 3M | 3 months | 4.22% | $100 |
| T-Bill 6M | 6 months | 4.35% | $100 |
| T-Bill 1Y | 1 year | 4.28% | $100 |
| T-Note 2Y | 2 years | 4.15% | $100 |
| T-Note 5Y | 5 years | 4.28% | $100 |
| T-Note 10Y | 10 years | 4.42% | $100 |
| T-Bond 30Y | 30 years | 4.78% | $100 |
Emerging Markets — High Yield
| Country | Bond | Maturity | Yield | Currency |
|---|---|---|---|---|
| 🇲🇽 Mexico | CETES 28-day | 28 days | 9.25% | MXN |
| 🇲🇽 Mexico | CETES 91-day | 91 days | 9.18% | MXN |
| 🇧🇷 Brazil | Tesouro Selic | Variable | 14.75% | BRL |
| 🇧🇷 Brazil | NTN-B 2026 | 2 years | 7.85% + IPCA | BRL |
| 🇮🇳 India | G-Sec 10Y | 10 years | 6.85% | INR |
| 🇿🇦 South Africa | RSA 10Y | 10 years | 10.45% | ZAR |
| 🇨🇴 Colombia | TES 10Y | 10 years | 11.20% | COP |
Asia-Pacific
| Country | Bond | Maturity | Yield | Currency |
|---|---|---|---|---|
| 🇦🇺 Australia | AGS 3Y | 3 years | 3.95% | AUD |
| 🇦🇺 Australia | AGS 10Y | 10 years | 4.45% | AUD |
| 🇳🇿 New Zealand | NZGB 10Y | 10 years | 4.72% | NZD |
| 🇯🇵 Japan | JGB 10Y | 10 years | 1.52% | JPY |
| 🇯🇵 Japan | JGB 30Y | 30 years | 2.48% | JPY |
| 🇰🇷 South Korea | KTB 10Y | 10 years | 2.95% | KRW |
Government Bonds vs Savings Accounts: Which Pays More?
| Product | Yield | Term | Risk | Liquidity |
|---|---|---|---|---|
| Spanish Bono 2Y | 2.85% | 2 years fixed | Very low | Tradeable on secondary market |
| Italian BTP 10Y | 3.72% | 10 years fixed | Very low (EUR sovereign) | Tradeable on secondary market |
| UK Gilt 1Y | 4.45% | 1 year | Very low | Tradeable on secondary market |
| US T-Bill 6M | 4.35% | 6 months | Risk-free benchmark | Tradeable on secondary market |
| Best EUR savings account | 2.50%-3.00% | No fixed term | FSCS/EDIS protected up to €100k | High (instant withdrawal) |
| Best EUR 12M deposit | 2.50%-3.20% | 12 months | FSCS/EDIS protected up to €100k | Low (penalty for early exit) |
Conclusion: In the Eurozone, short-term Spanish and German bonds compete directly with the best savings accounts. In the UK and US, sovereign bonds clearly outperform most savings accounts. For EUR-based investors wanting higher yields, Italian BTPs and Greek bonds offer the best risk-adjusted returns within the eurozone.
How to Buy Government Bonds
Spain — Tesoro Público
Buy directly at tesoro.es with no fees from €1,000. Also available through brokers like Interactive Brokers, Freedom24 or eToro.
United Kingdom — Gilts
Via NS&I (National Savings & Investments) or brokers with gilt market access. Minimum £100. Many UK platforms like Hargreaves Lansdown offer easy gilt access.
United States — TreasuryDirect
At treasurydirect.gov directly from the government from $100, with zero fees. Also available on any international broker.
Mexico — CETES Directo
At cetesdirecto.com from as little as 10 Mexican pesos. Ideal for residents in Mexico seeking high yields in local currency.
Brokers for International Bond Access
For investors wanting to access bonds from multiple countries, these brokers offer the widest selection: Interactive Brokers (global access), Freedom24 (EU-regulated, bonds from 12+ countries), and eToro (fractional bonds available).
Tax Treatment of Government Bonds
United Kingdom
Gilt interest is subject to Income Tax at your marginal rate (20%, 40%, or 45%). Capital gains on gilts are exempt from CGT, making them particularly attractive for higher-rate taxpayers compared to corporate bonds.
United States
Treasury interest is subject to federal income tax but exempt from state and local taxes — a significant advantage in high-tax states like California or New York. T-Bills held in tax-advantaged accounts (IRA, 401k) avoid federal tax entirely.
European Union
Bond interest is generally subject to capital income tax (19-25% in Spain, 30% flat rate in France, 26% in Germany). Some EU countries offer reduced withholding on domestic sovereign bonds.
Frequently Asked Questions About Government Bonds
Which government bond has the highest yield in 2026?
Among developed market sovereign bonds, UK Gilts at 30 years offer the highest yield at 5.12%. In emerging markets, Colombian TES bonds exceed 11% and South African RSA bonds top 10.45%, but these carry significant currency and political risk. For EUR-denominated investors without currency risk, Italian BTPs at 3.72% lead the eurozone.
Are government bonds safe investments?
Bonds from stable economies (Germany, US, UK, Japan) are considered risk-free benchmarks. The main risks are inflation risk (returns eroded by inflation) and interest rate risk (bond prices fall when rates rise, affecting secondary market value). Emerging market bonds add default risk and currency risk.
What is the difference between a bond, a gilt, and a Treasury?
Gilts are UK government bonds. Treasuries are US government bonds (T-Bills under 1 year, T-Notes 2-10 years, T-Bonds over 10 years). In Spain: Letras (under 1 year), Bonos (2-3 years), Obligaciones (5-50 years). They work identically — different names by country.
Can you lose money on government bonds?
If held to maturity, you receive exactly your invested capital plus agreed interest (assuming no government default). If sold early on the secondary market, the price may be lower than purchase price if interest rates have risen since you bought. This is why short-term bonds are lower risk than long-term ones.
Which government bond pays the highest yield in euros in 2026?
For EUR-based investors wanting no currency risk: Italian BTPs at 3.72% (10Y) lead the eurozone, followed by Greek GGBs at 3.42% and Spanish Bonos at 3.35%. For maximum safety, German Bunds at 2.68% are the risk-free reference. Short-term investors may prefer Spanish 2Y Bonos (2.85%) which compare favorably against savings accounts.