A government bond is a loan you make to the Belgian State. It guarantees you a fixed rate for the entire maturity (1 to 10 years), pays you an annual coupon and reimburses 100% of the capital at maturity. Issued 4 times a year, accessible from €100, taxed at 30% on coupons. Ideal to lock in a rate when you won't need the money before the end of the investment — otherwise, the savings account often remains smarter.
A government bond — what is it exactly?
A government bond is a bond issued by the Kingdom of Belgium. Concretely, you lend money to the Belgian State, which commits to paying you a fixed annual interest (the « coupon ») and to reimbursing 100% of your capital on the maturity date.
The issuer is the Belgian State — rated Aa3 by Moody's and AA by S&P. One of the most solid borrowers in the eurozone. The default risk exists in theory, but on a bond's horizon (1 to 10 years), it is extremely low.
Three characteristics to remember:
- Fixed rate known in advance for the entire duration — no surprises, unlike a savings account whose rate can fall at any time.
- Capital guaranteed at 100% at maturity, except in case of State default (negligible).
- 30% withholding tax deducted at source on each coupon.
2026 issues: rates and dates
The Belgian State issues government bonds four times a year: in March, June, September and December. The exact conditions (offered maturities and coupons) are announced about two weeks before the subscription opens.
| Issue | Maturity | Gross coupon | Net coupon (30%) | ISIN |
|---|---|---|---|---|
| March 2026 | 1 year | 2.00 % | 1.40 % | BE3871310400 |
| March 2026 | 8 years | 2.80 % | 1.96 % | BE3871311416 |
| June 2026 | Conditions announced around mid-May 2026 on debtagency.be | |||
| September 2026 | Announcement around end of August 2026 | |||
| December 2026 | Announcement around end of November 2026 | |||
The 1-year bond plays on immediate safety: you lock in 1.40% net for 12 months, risk-free. The 8-year bond plays on duration: if the ECB lowers its key rates in the coming years, you keep a 1.96% net coupon until 2034.
Taxation: 30% withholding on each coupon
This is what surprises many savers. On a government bond, each euro of coupon is taxed at 30% from the first euro. No exemption like the regulated savings account.
The exceptional September 2023 issue benefited from a 15% reduced withholding tax, intended by Minister Van Peteghem to push banks to better remunerate savings. This measure was one-off. All issues since December 2023 have returned to the 30% standard withholding, and no current bill plans to reintroduce a reduced rate.
Concretely, on €10,000 invested
8-year bond with a 2.80% gross coupon:
- Annual gross coupon: €280
- 30% withholding at source: €84
- Net coupon in your pocket: €196 per year
- Total net over 8 years: €1,568 (excluding compounding)
And the new 10% capital gains tax?
If you hold your bond to maturity, you have no capital gain: you get 100% of your stake back. The 10% tax in force since 1 January 2026 therefore does not affect you.
However, if you resell on the secondary market before maturity and market rates have fallen in the meantime, the price of your bond has risen → you may generate a taxable gain. In that case, the annual €10,000 exemption applies, and the surplus is taxed at 10%.
→ For a full breakdown of this new tax, see our guide on the 2026 capital gains tax.
Government bonds vs savings account: who wins?
That is the question. And the answer is not universal: it all depends on the amount you place and the horizon you have.
| Regulated savings account | Government bond (8 years) | |
|---|---|---|
| Indicative gross rate | 0.8 to 2.5 % (variable) | 2.80 % (fixed 2026) |
| Taxation | €1,020 exempt/pers/year, then 15% | 30 % from the 1st € |
| Availability | Immediate | Locked until maturity |
| Capital risk | None (€100,000 guarantee) | Near zero at maturity, fluctuating on resale |
| Guarantee | Belgian guarantee fund | Belgian State directly |
Case 1 — You have €5,000 as a safety buffer
Stick with a regulated savings account. Your interest will be entirely exempt (well below the €1,020 ceiling), the money remains available in case of emergency, and you benefit from the highest rates on the Belgian market with no opportunity cost.
Case 2 — You have €50,000 you know you won't need for 8 years
Here, the 8-year government bond becomes relevant. You lock in 1.96% net guaranteed by the State over 8 years. Over the same period, your savings account could see its rate halved if the ECB lowers its key rates.
Tip: spread it. Keep your safety buffer (3-6 months of expenses) on the savings account, and place the rest on a government bond or a mix of maturities.
Case 3 — You can lock in for 8 years but you aim for higher returns
Over 8 years, equity ETFs have historically delivered 5 to 7% per year, vs 1.96% net for the bond. The bond is risk-free (except default), the ETF is not. It's the classic safety/return trade-off, to be made according to your risk appetite.
Where to subscribe: FPS Finance or your bank?
Option 1 — FPS Finance (the cheapest)
The Grand Books service of the FPS Finance allows you to subscribe online on staatsbon.be. You connect via itsme or eID, fill in your profile and subscribe during the issue period. Cost: zero. No subscription fees, no annual custody fees, and the reimbursement at maturity arrives directly on your ordinary bank account.
The downside: subscription via the Grand Books closes one day before the banks (usually Monday evening instead of Tuesday 3 p.m.).
Option 2 — Your bank or broker
You can subscribe via your bank (Belfius, BNP Paribas Fortis, KBC/CBC, ING, Argenta, Crelan…) or your broker (Keytrade, MeDirect, Deutsche Bank, Saxo). The bond is exactly the same: same ISIN, same coupon, same maturity.
The downside: some banks charge annual custody fees on their securities account (often 0.10 to 0.20% per year), which eat into the yield. Check your account's terms first.
If you don't already have a securities account with zero custody fees, go through staatsbon.be. It's free, official, and reimbursement is simple. You don't need anything more.
The secondary market: selling before maturity
You can sell your government bond at any time on Euronext Brussels. But beware, two mechanisms come into play:
The interest rate risk
If market rates rise after your purchase, your bond becomes less attractive (new bonds pay better). Its market price falls → you sell at a loss.
If rates fall, the opposite happens: your bond becomes more attractive, its price rises → you can sell at a gain (taxed at 10% above the €10,000/year exemption).
The cost of resale
- Stock exchange tax (TOB): 0.12% of the transaction amount, capped at €1,300.
- Broker or bank fees: variable, often 0.15 to 0.30% with a minimum of €15.
- Spread: Florint BV (liquidity provider designated by the State) guarantees there will always be a buyer, but with a difference between buying and selling prices.
In practice, leaving before maturity is only profitable if rates have fallen significantly, and only do so if you really need to.
The 6 pitfalls to avoid
1. Confusing gross and net coupon
When a bank communicates « 2.80% over 8 years », it refers to gross. What you actually receive is 1.96% net after withholding. Always reason in net to compare with other products.
2. Hoping for a return of the 15% withholding
The 2023 Van Peteghem bond was a political exception. No indication suggests that this reduced rate will return. If you wait for it to be reissued, you risk depriving yourself of several years of coupon on a standard product.
3. Ignoring the bank's custody fees
0.15% custody fees per year on an 8-year bond add up to 1.2% of capital over the duration — more than half of an annual net coupon. Always compare with the FPS Finance option (free).
4. Buying a government bond for money you'll need
The bond is not a savings account. If you have to resell before maturity, you pay the fees, the TOB and bear the rate risk. Only invest in a government bond money you are sure you won't need before maturity.
5. Confusing government bond and corporate bond
Corporate bonds (Solvay, Proximus, etc.) are also fixed-rate loans, but with a much higher default risk than the Belgian State. They may offer more attractive rates… at the cost of a real capital risk.
6. Forgetting that the securities account tax exists
If the total value of your securities account exceeds €1,000,000, an annual 0.15% tax applies. For the vast majority of savers, this is not relevant — but it's a point to monitor for larger estates.
3 concrete strategies for 2026
« Safety » strategy — Under €20,000
Keep the entire amount on a well-remunerated regulated savings account. With €1,020 of exempt interest per person per year, you have no tax interest in switching to government bonds for these amounts.
« Balance » strategy — €20,000 to €100,000
Keep 6 months of expenses on the savings account (safety buffer), then split the rest between:
- 1-year government bond for scheduled liquidity
- 8-year government bond to lock in a long rate
- An ETF World pocket for long-term growth
« Bond ladder » strategy
Subscribe to each quarterly issue alternating durations (1, 5, 8 years). After a few years, you have bonds maturing regularly, giving you a stream of maturities and the opportunity to reinvest at current rates.