The public debt of Wallonia

Wallonia’s public debt is the total amount of the loans borrowings raised to cover any annual gap between the entity’s revenues and expenditures.

When a deficit arises, borrowing is required becomes necessary to secure the financial resources needed to implement regional policy. 

Wallonie Finances Expertises oversees the overall financing of Wallonia’s public debt, in line with the directives of the Walloon Minister responsible for Budget and Finance and in compliance with the recommendations of the Regional Treasury Council (CORET).

WFE is also responsible for managing Wallonia’s short-term and long-term investments. 

Consolidated gross debt

Wallonia’s consolidated gross debt (or contribution to Maastricht debt) stood at EUR 38,407.3 million on 31 December 2024, an increase of EUR 2,205.6 million compared with 2023.

EUR Millions, period-end 

2020

2021

2022

2023

2024

Consolidated gross debt 

27,831.5

31,488.6

34,470.7

36,469.4

38,691.7

Region’s assets S1312 

18.0

15.0

33.0

45.7

47.2

Region’s asset S13 

58.3

44.8

226.1

222.1

237.2

Region’s contribution to Maastricht debt 

27,755.2

31,428.7

34,211.6

36,201.7

38,407.3

 

Source : WFE

Wallonia’s contribution to Maastricht debt takes into account Walloon public debt securities held by other institutional entities within Belgium’s general government sector (S.13) within the meaning of ESA.

The two components of consolidated gross debt are:

Direct debt

  • Short- and long-term direct debt, meaning the borrowings raised directly by Wallonia to cover its annual financing needs.

Direct debt also includes the internalised debts of the Walloon SPABS.

Indirect debt

  • Borrowings raised directly by public administration units within Wallonia’s S.1312 consolidation perimeter to finance their activities. These borrowings generally benefit from a Wallonia guarantee
  • Loans raised by public administration units in connection with missions delegated to them by the Walloon Government
  • Financial leases
  • Alternative financing arrangements managed by the Regional Centre for Aid to Municipalities and by SOWAFINAL

Long-term direct debt

Wallonia’s direct debt, excluding SPABS, stood at EUR 29,027.02 million on 31 December 2025, an increase of EUR 2,820.69 million compared with 2024.

EUR Millions, period-end

2021

2022

2023

2024

2025

Bank loans

1.326,74

1.269,11

1.193,59

1.053,33

1.048,57

Schuldschein

2.522,50

2.502,50

2.502,50

2.602,50

2.610,50

Bond issue

14.394,50

17.132,00

19.027,00

21.744,00

24.204,00

  • Stand alone

382,00

180,00

140,00

115,00

115,00

  • Medium Term Notes

355,00

325,00

90,00

60,00

50,00

  • Euro Medium Term Notes (private placements)

6.757,50

7.727,00

7.697,00

7.919,00

8.354,00

  • Euro Medium Term Notes (benchmark)

6.900,00

8.900,00

11.100,00

13.650,00

15.850,00

EU loans (SURE & BEI)

598,80

598,82

873,82

866,50

1.058,95

Loan to  SPABS

-

-60,00

-60,00

-60,00

-60,00

 

Source : WFE 


As of 31 December 2025, the main direct debt ratios were as follows:

Implicit average rate (annual basis)

1,879%

Weighted average rate

2,22%

 Weighted original maturity (years)

TBD

Weighted residual maturity (years)

TBD

Fixed-rate debt ratio

92,65%

Duration (years)

TBD

 

Source : WFE

Short-term direct debt

The Region’s debt with a maturity of less than one year, composed exclusively of commercial paper, amounted to EUR 782 million on 31 December 2025, down by EUR 11.5 million compared with 2024.

The Region’s commercial paper is issued under the ECP Programme put in place in 2025. 

Indirect debt

Wallonia’s indirect debt stood at EUR 10,880.9 million on 31 December 2024, a decrease of EUR 314.6 million compared with 2023.

EUR Millions, period-end

2021

2022

2023

2024

Financial Lease

36,27

22,90

11,45

4,62

Delegated mission and alternative financing

2.459,30

2.393,99

2.285,35

2.119,58

FADELS

310,21

230,21

150,21

-

Consolidated companies S.1312

7.705,16

7.718,16

7.761,20

7.898,98

Floods

415,00

1.015,98

987,35

857,73

 

Source : WFE

Guaranteed debt

Wallonia may grant its guarantee to loans raised by third parties.

The main beneficiaries of the regional guarantee are public administrative units within the consolidation perimeter and are recorded under indirect debt.

EUR, period-end

2021

2022

2023

2024

CRAC

2.332.856,73

2.190.713,06

2.066.802,51

2.212.035,30

Grand Hôpital de Charleroi

-

125.000,00

125.000,00

200.000,00

Groupe Santé CHC ASBL

120.303,41

115.530,25

110.679,29

105.749,25

FLFNW

1.144.072,91

1.303.876,22

1.396.727,47

1.445.708,52

Hôpital psychiatrique Les Marronniers

3.506,00

2.745,88

2.500,00

2.231,81

Le Circuit de Spa Francorchamps

15.400,00

13.441,60

12.354,89

11.217,75

SOFICO

612.070,78

587.195,64

560.107,67

533.842,75

SOWAER

187.241,45

165.739,31

129.505,33

105.170,04

OTW

299.987,98

323.022,26

291.688,27

296.056,78

SWCS

2.630.311,99

2.680.071,41

2.797.384,22

2.938.154,16

SWDE

11,05

5,53

0

0

SWL

1.216.735,39

1.133.090,35

1.047.186,89

970.454,26

Wallonie Entreprendre MD

n.d.

n.d.

n.d.

1.550,00

 

Source : WFE

Financing needs

The financing need arising from the initial 2025 budget was estimated at EUR 3.566 billion. The following borrowings were used to cover this need:

EUR (Nominal)

Settlement date

Maturity date

Term (years)

All-in net rate, fixed-rate equiv. (%)

50.000.000,00

06-01-25

06-01-27

2,00

2,49

50.000.000,00

17-01-25

11-01-27

1,98

2,695

10.000.000,00

22-01-25

22-01-55

30,00

4,116

1.000.000.000,00

23-01-25

22-06-35

10,41

3,609

500.000.000,00

23-01-25

22-06-54

29,41

4,149

10.000.000,00

10-02-25

10-02-55

30,00

4,017

10.000.000,00

10-02-25

10-02-55

30,00

4,022

30.000.000,00

21-02-25

21-02-28

3,00

2,619

30.000.000,00

05-03-25

05-03-27

2,00

2,536

10.000.000,00

10-03-25

10-03-28

3,00

2,607

65.000.000,00

17-03-25

17-03-27

2,00

2,516

47.000.000,00

20-03-25

20-08-40

15,42

4,072

45.000.000,00

11-04-25

11-09-42

17,42

4,065

20.000.000,00

16-04-25

16-04-31

6,00

2,997

1.000.000.000,00

14-05-25

22-06-32

7,11

3,159

700.000.000,00

14-05-25

15-03-43

17,83

4,037

25.000.000,00

22-09-25

22-09-27

2,00

2,328

100.000.000,00

30-09-25

30-01-31

5,33

2,974

20.000.000,00

30-09-25

27-08-27

1,91

2,396

 

Source : WFE


The financing need arising from the initial 2026 budget is estimated at EUR 3.3 billion.
As at 31/03/2026, the following borrowings had been raised to cover this need:

EUR (Nominal)

Settlement date

Maturity date

Term (years)

All-in net rate, fixed-rate equiv. (%)

1.000.000.000,00

06-01-25

16-01-26

9

3,50

1.000.000.000,00

17-01-25

16-01-26

19

4,38

200.000.000,00

22-01-25

30-01-26

25

3,79

50.000.000,00

23-01-25

06-02-26

5

3,02

25.000.000,00

23-01-25

02-02-26

12

3,77

40.000.000,00

10-02-25

20-02-26

5

2,97

30.000.000,00

10-02-25

25-02-26

10

3,58

20.000.000,00

21-02-25

20-03-26

30

4,62

25.000.000,00

05-03-25

23-03-26

13

4,00

25.000.000,00

02-04-26

02-04-36

10

3,92

 

Source : WFE

Instruments

This section provides information on the legal and financial instruments used by the Walloon Region to raise borrowed funds to cover its financing needs.

Ratings

Wallonia has a financial rating issued by Moody’s.

On 24 April 2026, Moody’s revised the Region’s rating to Baa1 with a stable outlook.

Moody’s rating

Wallonia also has a non-financial ESG rating issued by Vigeo.

Thematic issuances

Since 2019, the Region has had a Sustainability Bond Framework to help support the transition to a low-carbon, environmentally responsible, and socially sustainable economy.

Thanks to this framework, the Region is now one of Belgium’s leading issuers of green, social, and sustainability bonds, with just over EUR 9 billion raised.

The funds raised (use of proceeds) through this type of thematic bond are used to finance the following types of expenditure:

Eligible green categories

  • Renewable energy
  • Energy efficiency and low-carbon buildings
  • Sustainable mobility
  • Sustainable food
  • Circular economy
  • Protection of resources, land and biodiversity 

Eligible social categories

  • Education and employment promotion
  • Socio-economic integration and empowerment
  • Access to housing
  • Access to basic infrastructure and essential services

About Wallonia

Belgium is a federal state composed of communities and regions (Article 1 of the Constitution). 

Wallonia is one of Belgium’s three Regions, alongside the Flemish Region and the Brussels-Capital Region. 

Competencies

Wallonia’s competencies are defined by the Belgian Constitution and by the Special Law of 8 August 1980 on institutional reforms, as amended notably in 1988 and 1993. The matters falling within its remit are:

  • Local government, social action, and health
  • Business, employment, and research
  • Mobility and waterways
  • Roads and buildings
  • Territorial planning, housing, heritage, and energy
  • Agriculture, natural resources, and the environment
  • Taxation

Sources of funding

Wallonia’s sources of funding are set out in the Loi spéciale relative au financement des Communautés et des Régions (Special Law on the Financing of the Communities and Regions) of 16 January 1989.

Wallonia’s budget is financed by:

  • non-tax revenue;
  • tax revenue referred to in that law;
  • revenue from the exercise of fiscal autonomy in personal income tax referred to in Title III/1;
  • assigned shares of tax and levy proceeds;
  • federal grants;
  • a national solidarity mechanism;
  • for the period from 2015 to 2033, a transition mechanism;
  • borrowings.

Revenue recorded by the Region in 2024:

EUR, accrual basis

2024 outrun

Assigned share of PIT / PIT surcharges

3.518.194.536

Regional taxes

3.165.958.058

  • of which RT collected by the federal authority

2.286.075.761

  • of which RT collected by the Region

879.882.297

Transferred-powers grant 

3.237.021.903

Sainte-Émilie grant

4.544.371.819

Federal grant (traffic tax; registration tax; property withholding tax; gaming and betting tax)

17.731.753

French Community grant

431.622.000

Miscellaneous revenue

1.279.524.147

Earmarked revenue

314.250.747

REVENUE (excluding borrowing proceeds)

16.508.674.963

Borrowing proceeds

3.147.000.000

TOTAL REVENUE

19.655.674.963

 

Source : WFE

Excluding borrowing proceeds, revenue can be grouped into three major categories representing EUR 16,508.674 million:

  • EUR 6,772.948 million, or 34%, from the federal level through the “Transferred competenties” grants and the share relating to regional tax administration services. This portion of revenue is guaranteed, and its evolution is set out in the Special Law on the Financing of the Communities and Regions.
  • EUR 4,975.993 million, or 25%, also from the federal level but channelled through the Wallonia-Brussels Federation under the intra-francophone Sainte-Emilie and Saint-Quentin agreements. These agreements concern the transfer of competencies to the Region following the 6th State reform.
  • EUR 4,759.732 million, or 24%, from the Region’s own revenue through regional taxes and levies, earmarked revenue, and miscellaneous revenue. 
Analystes financiers en réunion

The Region also borrows, amounting to EUR 3,147.00 million in 2024 (16% of total revenue). This borrowed amount includes the refinancing of 2024 amortisations, which came to EUR 621.02 million.

Part of the Region’s revenue therefore comes from federal transfers. If the monthly payments provided for under the Special Law on the Financing of the Communities and Regions are delayed or insufficient, and after notifying the Federal Minister of Finance of the situation, the Region concerned is entitled to raise a loan from a credit institution designated in advance with the agreement of the Federal Minister of Finance. This loan automatically benefits from the guarantee of the Federal State. The financial arrangements of this loan are governed by a general agreement concluded in advance between the Federal Minister of Finance, each executive authority, and the credit institution concerned. The financial servicing of this loan is borne directly by the Federal State.

Following successive State reforms, intra-francophone agreements organised the transfer to Wallonia of the exercise of powers normally devolved to the Wallonia-Brussels Federation (the French Community of Belgium). The Saint-Quentin and Sainte-Emilie agreements organise the corresponding financial transfers between Wallonia and the Federation.


Area, population and economy

Indicators

Value (recent order of magnitude)

Area

16 901 km²

Population

3.66 million inhabitants d’habitants (2024 estimate)

GDP

EUR 136 billion (2023)

GDP per capita

EUR 32,700 (2023)

Number of provinces

5

Number of municipalities

261

Total road length

81 000 km

of which regional roads

6,944 km (of which 874–886 km motorway)

Navigable waterways

451 km

Autonomous port

4 (Liège, Namur, Charleroi, Centre et Ouest)

Main regional airport

2 (Brussels South Charleroi Airport and Liège Airport)

Many indicators are available on the website of the public scientific institute IWEPS.

Contact

Etienne DEVEUX
Deputy General Coordinator
etienne.deveux@wfe.wallonie.be
+32473542786

Melvin BONAVENTURE
Front Office
melvin.bonaventure@wfe.wallonie.be
+32498256506

Dominique VANDERHULST
Middle Office
dominique.vanderhulst@wfe.wallonie.be
+32478758443