As of July 18, 2025, the major economy with the highest yield on 10-year government bonds was Turkey, with a yield of ** percent. This is due to the risks investors take when investing in Turkey, notably due to high inflation rates potentially eradicating any profits made when using a foreign currency to investing in securities denominated in Turkish lira. Of the major developed economies, United Kingdom had one the highest yield on 10-year government bonds at this time with **** percent, while Switzerland had the lowest at **** percent. How does inflation influence the yields of government bonds? Inflation reduces purchasing power over time. Due to this, investors seek higher returns to offset the anticipated decrease in purchasing power resulting from rapid price rises. In countries with high inflation, government bond yields often incorporate investor expectations and risk premiums, resulting in comparatively higher rates offered by these bonds. Why are government bond rates significant? Government bond rates are an important indicator of financial markets, serving as a benchmark for borrowing costs, interest rates, and investor sentiment. They affect the cost of government borrowing, influence the price of various financial instruments, and serve as a reflection of expectations regarding inflation and economic growth. For instance, in financial analysis and investing, people often use the 10-year U.S. government bond rates as a proxy for the longer-term risk-free rate.

The Emerging Markets Bond Index (EMBI+), commonly known as "riesgo país" in Spanish speaking countries, is a weighted capitalization market benchmark that measures the financial returns obtained each day by a selected portfolio of government bonds from emerging countries. It is measured in base points, which reflect the difference between the return rates paid by emerging countries' government bonds and those offered by U.S. government securities, considered a safety benchmark. In 2023, Venezuela had the highest EMBIG, amounting to more than 21,422 points. Bolivia followed second, with an index of over 2,200. In the same period, the Latin American economies with the lowest sovereign risk was Uruguay and Chile, with EMBIG levels below 140 basis points.

Key information about Venezuela Short Term Interest Rate

• Venezuela Short Term Interest Rate: Month End: Venezuela: Interbank Rate: Weighted Average was reported at 1.53 % pa in Nov 2025, compared with 0.68 % pa in the previous month.
• Venezuela Short Term Interest Rate data is updated monthly, available from Jan 1998 to Nov 2025.
• The data reached an all-time high of 343.59 % pa in Aug 2020 and a record low of 0.00 % pa in Jan 2022.
• Short Term Interest Rate is reported by reported by CEIC Data.