Andorra Finance Minister Defends Credibility Amid Strong Bond Demand

Finance Minister Ramon Lladós defended Andorra's credibility in international financial markets before the General Council's Finance and Budget Committee, pointing to strong demand for the country's debt issues as proof of investor trust in its economic stability and public finances.

During the presentation of the 2027 draft budget in Andorra la Vella on 15 October 2026, Lladós told councillors that investors carefully assess opportunities. He noted that interest from abroad stems from perceptions of steady growth, robust finances, debt repayment via budget surpluses, and careful oversight, adding that such players treat their funds seriously.

To illustrate, he highlighted successful bond sales to Nordic countries, along with involvement from the European Commission and European Investment Bank in Andorra's international financial ties. Lladós encouraged the committee to consult independent reports and credit ratings, which commend the Principality's political, fiscal, and legal stability, economic growth, and strict public accounts management. Some evaluations, he said, even describe the approach as overly prudent.

The minister also referenced a drop in Andorra's risk premium, from 115 basis points in 2021 to 31 today, placing it on par with France in market views. While acknowledging hurdles like the need for economic diversification and readiness for an ageing population, he responded to General Councillor Meritxell López by citing institutional resilience, activity spread, deficit management, and checks and balances as factors bolstering perceptions.