Swiss household debt has increased

The household debt increased again compared to the previous year. On the other hand, assets have also increased.

Thanks to rising share prices, rising real estate prices and growth in pension fund assets, Swiss household assets rose again last year. But also the mountain of private debt has increased again compared to the previous year. According to the "Financial Account" of the Swiss National Bank (SNB), this is mainly due to the rise in mortgage debt.

Raised balance

Specifically, total financial claims increased by 145 billion to a total of 2,561 billion Swiss francs, an increase of 6%. According to SNB calculations, household real estate holdings increased by CHF 81 billion to CHF 2,024 billion (+ 4%) due to rising real estate prices.

The increase in assets is largely attributable to the increase in credit balances and Swiss rights to insurance companies and pension funds. According to the publication published Thursday, this item represents the lion's share of all claims at 40%. In addition, the share of collective investment schemes, such as equities and real estate, broadly added to domestic households and had more accounts in 2017.

The mountain of debt has also grown

But household debt, mainly in the form of loans, also increased by 25 billion Swiss francs, to reach a total of 864 billion Swiss francs (plus three percent), according to the report. For the first time in eight years, personal loans rose again for the first time in eight years. According to SNB, this was mainly due to the increase in mortgages. With CHF 25 billion in 2017, this amount was higher than in the previous year. At that time, it was 21 billion. Mortgages represent 94% of all bonds.

In total, the net value, calculated from financial claims as well as real estate (assets) and liabilities (liabilities), increased by CHF 200 billion last year to reach a total of € 3,720 billion. , according to the SNB. An increase of 6%.

The financial account presents, among other things, the balance sheet of households, including non-profit institutions serving households. These include aid agencies, churches, trade unions, political parties and recreational clubs. According to the SNB, these represent 2 to 3% of total debts and obligations of private households.

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