The European bond markets are about to get a little crowded. With governments and banks expected to swamp the markets with more than €2,600bn ($3,255bn) in new debt next year, competition among issuers to attract investors will never be greater.

This wall of issuance, estimated to comprise up to €1,000bn in government debt and up to €1,600bn in government-backed bank paper, comes just as the markets are deteriorating, making it harder to raise money.