More wealth and less debt. This Net financial wealth of Spanish families Nonprofits serving households (ISFLSH) reached €2 trillion in the first quarter of this year, representing a 2.9% increase in the inter-year rate, according to financial accounts released this Tuesday by the Bank of Spain. reflects moderation in debt. During, the debt number of digits It fell to 51.1% of gross domestic product (GDP), compared to 56.8% in March last year, according to the latest report by the Bank of Spain on the financial accounts of the economy.
number net financial assets The number of families was equivalent to 147% of GDP at the end of the first quarter, 9.9 percentage points lower than the previous year, mainly due to the increase in GDP. The combined balance of household financial assets (cash, equities, deposits and rental securities) and ISFLSH increased by 1.7% year-on-year to a maximum of €2.75 trillion in the first quarter.
This increase reflects a positive revaluation of 15.3 billion euros, in addition to net financial asset purchases of 31.9 billion euros in the last four quarters. Looking at the distribution by components at the end of the period, most of the household financial assets remained the same. in cash and deposits (38% of total), followed by equity or stocks (31%), mutual fund shares (15%) and insurance and pension funds (12%).
Capital holdings increased their weight the most among household financial assets (by 1.2 points compared to the previous year), while the weight of insurance and pension funds decreased the most (-1.2 points).
consolidated debt
on his behalf consolidated debt companies and your houses and ISFLSH reached 1.648 billion euros in the first quarter, 1.7% less than a year earlier, but 2.3% higher than before the outbreak began at the end of 2019. In terms of GDP, the ratio shows a slowdown in debt to 121.1% compared to 135.3% in March 2022, and also below 129.3% at the end of 2019.
Consolidated debt of non-financial institutions alone fell from €972.3 billion in the first quarter of 2022 to €952.7 billion in March 2023. In terms of GDP, the rate fell from 78.5% in March 2022 to 70% at the beginning of 2022. 2023 (if intercompany debt is included, the rate in March 2023 will be 89.9% compared to 101.5% a year ago).
On the other hand, household and ISFLSH debt decreased from 703,800 million in March to 694,900 million from 202.2 in early 2023. GDP ratio decreased from 56.8% a year ago to 51.1% in the first quarter of 2023,