According to the latest report from Statistics Sweden (SCB) and the Swedish Financial Supervisory Authority (Finansinspektionen), households in Sweden are borrowing less and increasing their liquid savings. The Sparbarometern for the first quarter of 2023 reveals positive trends in household finances.
At the end of the quarter, households’ liquid savings reached SEK 51 billion, marking a significant increase of SEK 28 billion compared to the same period last year. This surge in liquid savings coincides with an annual growth rate of 2.5 percent in household loans.
During the first quarter, households’ net savings in liquid assets amounted to SEK 59 billion. However, loans increased by SEK 8 billion during the same period. Consequently, the total liquid savings amounted to SEK 51 billion.
The report also highlights the allocation of households’ savings in stocks, funds, and deposits. Net purchases of listed stocks by households amounted to SEK 7 billion, while fund investments reached SEK 27 billion.
On the other hand, bank deposits decreased by SEK 68 billion compared to the same period last year, with a total of SEK -10 billion recorded for the first quarter.
The Sparbarometern provides a comprehensive overview of the components and total of liquid savings, depicted in the accompanying diagram (source: SCB).
Turning to household loans, the report reveals that total household debt amounted to SEK 5,215 billion at the end of the quarter, reflecting an annual growth rate of 2.5 percent.
During the first quarter, households’ net borrowing reached SEK 8 billion, indicating a decrease of SEK 60 billion compared to the same period the previous year.
A diagram representing household loans, transactions (on the left), and the annual growth rate (on the right) is also included in the report.
The positive trends observed in the Sparbarometern indicate that households are becoming more cautious with their borrowing and focusing on increasing their liquid savings. These findings suggest a healthier financial outlook for Swedish households in the first quarter of 2023.