This report analyzes interest rate derivatives (IRD) trading activity reported in Europe. The analysis is based on transactions publicly reported by 30 European approved publication arrangements (APAs) and trading venues (TVs).

Key highlights for the first quarter of 2025 include:

• European IRD traded notional reported by APAs and TVs in the EU and UK rose by 30.7% to $75.7 trillion in the first quarter of 2025 versus $57.9 trillion in the first quarter of 2024.
• Euro-denominated IRD traded notional grew by 9.2% to $38.2 trillion from $34.9 trillion, representing 50.4% of total European IRD traded notional.
• Contracts denominated in US dollars rose by 30.9% to $11.1 trillion from $8.5 trillion, accounting for 14.7% of the European total.
• Sterling-denominated IRD traded notional increased by 64.4% to $14.1 trillion from $8.6 trillion and comprised 18.6% of European IRD traded notional. Other currencies made up 16.3% of European IRD traded notional.
• 73.8% of European IRD traded notional had a tenor up to and including one year, 14.8% had a tenor between one and five years and 9.3% had a tenor over five years.
• 35.4% of European IRD traded notional occurred on TVs and 42.4% was executed by systematic internalizers (SIs). The remaining 22.1% of IRD traded notional was reported as XOFF.