A debt that is issued or guaranteed by a government agency or a government sponsored entity. It might also be issued by a trust or other entity that is established or sponsored by a government- sponsored enterprise for the purpose of issuing debt securities (e.g., an SPV), where the enterprise posts collateral to the trust or other entity or retains a material net interest in the reference tranches associated with the securities issued by the trust or other entity.

The term usually does not include treasuries (treasury securities) and any securitized products collateralized by a certain type of financial assets such as mortgages, leases, or t that may be issued by an agency.