Household, corporate debt at historical lows in Q1 2026
The Bank of Spain reported that household and corporate debt reached historical lows in the first quarter of 2026. Net financial wealth of households also increased significantly.
Debt burdens ease to record lows
The consolidated debt of Spanish households fell to 42.5 percent of GDP in the first quarter of 2026, marking its lowest level since 1999.
Similarly, corporate consolidated debt declined to 62.5 percent of GDP, a minimum not observed since the third quarter of 2001.
These figures highlight a continued deleveraging trend across the private sector.
Despite the relative reduction, household debt in absolute terms increased to €728 billion from €700 billion a year prior, while corporate debt rose to €1,070 billion from €1,049 billion.
Concurrently, the net financial wealth of households reached 155.3 percent of GDP in Q1 2026, an increase from the 149.5 percent average observed since 2022, reflecting a stronger financial position.
Financial flows shift across sectors
Financial institutions' assets stood at 340 percent of GDP in the first quarter of 2026, though slightly below recent averages due to reductions in cash, deposits, and loans.
However, lending by Monetary Financial Institutions (MFIs) significantly increased to 5.1 percent of GDP, well above the 1.0 percent average since 2022, with growth across all resident sectors, particularly non-financial corporations and households.
Public Administrations' net financial operations improved to -2.2 percent of GDP, compared to a -3.7 percent average since 2022.
Overall, net financial operations for all resident sectors showed a positive sign of €61 billion, or 3.5 percent of GDP.