Household savings historically low
JulkaisusarjaBank of Finland. Bulletin
JulkaisijaBank of Finland
Julkaisun pysyvä osoite onhttps://urn.fi/URN:NBN:fi:bof-201706301390
Saving by Finnish households has been at very low levels for an historically long time. Since autumn 2014, the savings ratio has actually been negative. Underlying contributory factors include the low level of interest rates and consumer confidence, which has strengthened in recent years. Both factors encourage households to increase consumption and reduce saving, which has also been reflected in strong private consumption growth. Households’ continued accumulation of debt does, however, entail risks for the economy.