The United States repo market, long flagged as systemic, averaged about $12.6 trillion in daily exposure last year, according to Treasury research. A new International Capital Markets Association (ICMA) survey shows the European side eclipses that, reporting €13.65 trillion of repo activity as of Dec. 10, 2025. Even allowing for cross‑border overlap, the figure suggests Europe now hosts the world’s larger short‑term funding pool.

The ICMA count draws on responses from 59 of the continent’s biggest banks, but several major institutions—particularly from Sweden and Finland—did not participate, meaning the headline number is a floor, not a ceiling. Survey results also show European firms remain net lenders, with one‑day repos dominating. US Treasuries serve as collateral for roughly 20% of the market, the most common asset class.

A deep, liquid repo market underpins Europe’s sovereign‑debt financing and broader capital‑market functioning. Regulators have long pressed Washington to curb systemic risks in its own short‑term funding arena; Europe’s now‑larger repo pool adds a fresh dimension to that debate. The data confirms that, despite gaps, the continent possesses a robust funding backstop capable of absorbing sizable liquidity shocks.