Low bond yields have saved the German government €80 billion in interest since 2009.

The Eurozone crisis has created huge volatility in the market for government bonds, with the heavily indebted countries on the Eurozone’s periphery facing significantly higher rates. One side effect of this volatility, writes Jens Boysen-Hogrefe, is that Germany has been seen as a “safe haven“ for those who wish to invest in government debt, leading to unusually low yields for government bonds. He finds that these low yields have saved the German government over €80 billion in the past five years.