Financial Accounts 2012

Transcription

1 National Accounts 213 Financial Accounts 212 Households net financial assets decreased in 212 Households' financial assets stood at EUR 22.2 billion at the end of 212. Financial assets grew only by EUR 2.5 billion during the year. While liabilities correspondingly grew by EUR 6.4 billion to EUR billion, households' net financial assets decreased to EUR 87.6 billion. These data derive from Statistics Finland s Financial Accounts statistics. Financial assets of households , EUR billion. From fixed-term deposits to cash deposits At the end of 212, over EUR 8 billion, or 36 per cent of households' financial assets were deposits. Even though the total amount of deposits remained practically unchanged during the year, there was a clear shift from fixed-term deposits to cash deposits. At the end of 212, EUR 46 billion of households' financial assets were insurance technical reserves, EUR 39 billion unquoted shares and equity, EUR 24 billion quoted shares and EUR 14 billion mutual fund shares. Households' net investments both in quoted shares and investment funds increased slightly from the year before. Helsinki Quoting is encouraged provided Statistics Finland is acknowledged as the source.

2 Indebtedness rate went up Households' loan debts stood at EUR billion at the end of 212. Loan debts grew by altogether EUR 6.1 billion during 212, which resulted in households' indebtedness increasing by 2.5 percentage points to per cent. Households' indebtedness is calculated as the ratio of their loan debts at the end of the year to their total disposable income of the year. 2

3 Contents 1. Households' financial assets grew slightly but indebtedness continued in Government sector's balance sheet position improved Emissions of quoted shares livened Domestic mutual funds grew Foreign investments to Finland growing Private sector debt...6 Tables Appendix tables Appendix table 1. Financial assets of households, million EUR...8 Appendix table 2. Liabilities of households, million EUR...8 Appendix table 3. Households net acquisition of financial assets, million EUR...8 Appendix table 4. Households net incurrence of liabilities, million EUR...9 Appendix table 5. Financial assets of Non-financial, million EUR...9 Appendix table 6. Financial liabilities of Non-financial, million EUR...1 Appendix table 7. Net financial assets by sector, million EUR...1 Appendix table 8. Net financial transactions by sector, million EUR...12 Appendix table 9. Statistical discrepancy by sector, million EUR...13 Figures Figure 1. Change in financial assets of households, EUR billion...4 Figure 2. Changes in emissions of quoted shares by non-financial, EUR billion...5 Figure 3. Private sector debt as percentage of GDP...6 Appendix figures Appendix figure 1. Financial assets of households, EUR billion...14 Appendix figure 2. Change in financial assets of households, EUR billion...14 Appendix figure 3. Households' net acquisition of deposits, quoted shares and mutal funds, EUR billion...15 Appendix figure 4. Emissions of quoted shares, EUR billion...15 Appendix figure 5. Households indebtedness ratio...16 Appendix figure 6. Private sector debt as percentage of GDP

4 1. Households' financial assets grew slightly but indebtedness continued in 212 Households' financial assets that fell in 211 due to holding losses grew by EUR 2.5 billion in 212. As a result of a rise in share prices, households accrued a total of EUR 1.2 billion in holding gains. However, households only acquired financial assets to the net amount of EUR.6 billion. Because the growth in financial assets was smaller than that of borrowing, households' net financial assets decreased. Figure 1. Change in financial assets of households, EUR billion Deposits have typically been the most important investment target for households. In 212, households favoured cash deposits in particular. Simultaneously, a lot of assets were withdrawn from fixed-term deposits. Investments in mutual fund shares that had decreased heavily in the previous year turned clearly positive in 212. Households' net investments in quoted shares also increased from the year before. All in all, households financial assets amounted to EUR 22 billion at the end of 212. Of these, EUR 8 billion were deposits, EUR 46 billion insurance technical reserves, EUR 39 billion unquoted shares and equity, EUR 24 billion quoted shares and EUR 14 billion mutual fund shares. The value of other financial assets held by households was EUR 17 billion. Households' shares in housing companies are not recorded in financial accounts as financial assets. Households' debts continued to grow. Households' loan debt increased by good EUR 6 billion during 212, reaching EUR 123 billion at the end of the year. Indebtedness rate, i.e. proportion of loan debts relative to disposable income, rose to per cent from the previous year's per cent. Because households' debts increased more than their financial assets, households' net financial assets decreased by nearly EUR 4 billion to EUR 88 billion Government sector's balance sheet position improved Government sector's balance sheet position improved in 212. At the end of the year, the government sector's net financial assets amounted to EUR 17 billion, which was EUR 4 billion more than one year earlier. The improved balance sheet position is mainly explained by an increase in the financial assets of employment pension schemes that belong to social security funds. While the net financial assets of central government decreased by EUR 8 billion and those of local government by EUR 2 billion, the position of social security funds improved by nearly EUR 15 billion. 4

5 Even though central government s financial assets increased, mainly as a result of an increase in long-term loan receivables, the weakening of the balance sheet position that began in 28 continued. During 212, central government's net financial assets contracted from EUR -34 billion to EUR -42 billion. The drop was mainly caused by an increase in the stock of bonds. During the year, gross debt at market prices in the financial accounts of the central government grew by EUR 11 billion. During 212, net financial assets of employment pension schemes increased from EUR 133 billion to EUR 147 billion. The growth in employment pension schemes' net financial assets is mainly explained by the increase in the market value of quoted shares and mutual fund shares as a result of the recovery in share prices. During 212, employment pension schemes accrued a total of EUR 9 billion in holding gains. Similarly, net investments amounted to nearly EUR 4 billion. In 212, employment pension schemes invested most assets in mutual fund shares and unquoted shares Emissions of quoted shares livened Non-financial were interested in acquiring financing through issuing new equity on the stock market in 212. Quoted companies issued new shares to the value of EUR 2 billion whereas in the previous year the value of emissions was slightly under EUR one billion. Emissions have been last at this level in 27. Buybacks of own shares were low just like in the year before. From 23 to 28, non-financial amortized their share debt by buying back more of their own shares than issuing them. Figure 2. Changes in emissions of quoted shares by non-financial, EUR billion Non-financial ' debt financing grew during 212. Simultaneously, the focus of borrowing shifted from loan debts to debt securities. Debt financing refers to the total of loan debts and financing in the form of debt securities. Non-financial ' loan debt grew moderately from EUR 169 billion to EUR 172 billion. By contrast, non-financial issued debt securities to the net amount of EUR 9 billion Domestic mutual funds grew Domestic mutual funds that had contracted in the year before, grew by a total of EUR 21 billion in 212. Nearly EUR 14 billion of the growth was holding gains from investment portfolios and EUR 7 billion came from net investments. Assets flowed into investment funds especially from abroad, as well as from 5

6 insurance companies and households. New subscriptions also exceeded redemptions in money market funds Foreign investments to Finland growing Foreign bonds and mutual fund shares interested Finnish investors slightly more than in the previous year. Finns invested more in quoted foreign shares than in the previous year but the interest was lower than in to 21. In 212, the total value of the net investments of domestic investors in foreign bonds, shares and funds was EUR 16 billion, while in the year before its was good EUR 8 billion. Even though the trend is growing, the total amount of investments is still less than one-half of the level in 21. Clearly less of domestic units' money flowed into foreign deposits and loans than in 211. The flow decreased from EUR 49 billion in 211 to nearly EUR 9 billion in 212. A majority of the drop is explained by a slowdown in the central bank's foreign deposits and a decrease in foreign deposits by deposit banks. Loans to the rest of the world were, like in the year before, granted by deposit banks. Foreign investors increased their holdings in Finnish quoted shares after a break of several years. In all, quoted shares were sold to foreign investors to the net value of nearly EUR one billion last year. At the end of the year, the value of the ownership of foreign quoted shares was EUR 51 billion. The proportion of foreign ownership of the value of Finnish quoted shares is 43 per cent, just like in the year before. Interest by foreign investors towards Finnish bonds and mutual fund shares has been increasing over the past years and the trend continued also in 212. Compared to 28, foreign holdings both in Finnish bonds and mutual fund shares has doubled in value Private sector debt Private sector debt grew by EUR 18 billion last year, which is EUR 6 billion more than in 211. The GDP share of the debt grew by 5.6 percentage points to per cent. The indicator exceeds the threshold set by the European Commission, which is 16 per cent. A percentage below the threshold was last achieved in 27. Figure 3. Private sector debt as percentage of GDP The European Commission has launched a mechanism for the monitoring of macroeconomic imbalance (Macroeconomic Imbalance Procedure), which is based on eleven indicators. One of the indicators is private sector debt as percentage of GDP. Private sector debt comprises the loan debts and debts in the 6

7 form of debt securities of non-financial, households and non-profit institutions serving households. 7

8 Appendix tables Appendix table 1. Financial assets of households, million EUR Instrument AF Assets and liabilities total AF21 Currency AF22 Transferable deposits AF29 Other deposits AF33 Money-market instruments and bonds AF34 Derivative instruments AF4 Loans AF511 Quoted shares AF512 Unquoted shares AF513 Other equities AF52 Mutual funds shares AF6 Insurance technical reserves AF7 Other accounts receivable and payable Appendix table 2. Liabilities of households, million EUR Instrument Liabilities total Loans Other liabilities Appendix table 3. Households net acquisition of financial assets, million EUR Instrument AF Assets and liabilities total AF21 Currency AF22 Transferable deposits AF29 Other deposits AF331 Money-market instruments AF332 Bonds AF4 Loans AF511 Quoted shares AF512 Unquoted shares AF513 Other equities AF52 Mutual funds shares AF6 Insurance technical reserves

9 Instrument AF7 Other accounts receivable and payable Appendix table 4. Households net incurrence of liabilities, million EUR Instrument Liabilities total Loans Other liabilities Appendix table 5. Financial assets of Non-financial, million EUR Instrument AF Assets and liabilities total AF2 Currency and transferable deposits AF331 Money-market instruments AF332 Bonds AF34 Derivative instruments AF4 Loans AF511 Quoted shares AF512 Unquoted shares AF513 Other equities AF52 Mutual funds shares AF6 Insurance technical reserves AF7 Other accounts receivable and payable

10 Appendix table 6. Financial liabilities of Non-financial, million EUR Instrument AF Assets and liabilities total AF331 Money-market instruments AF332 Bonds AF34 Derivative instruments AF4 Loans AF511 Quoted shares AF512 Unquoted shares AF513 Other equities AF7 Other accounts receivable and payable Net financial assets Appendix table 7. Net financial assets by sector, million EUR Sector S111 Non-financial S112 Housing S121 The central bank S1221 Deposit banks S1222 Money market funds S1223 Other monetary financial institutions practising financial intermediation S123 Other financial intermediaries S124 Financial auxiliaries S125 Insurance

11 Sector S1311 Central government S1313 Local government S13141 Employment pension schemes S13149 Other social security funds S14 Households S15 Non-profit institutions serving households S2 Rest of the world

12 Appendix table 8. Net financial transactions by sector, million EUR Sector/ Net incurrence of liabilities Net acquistion of financial assets Net financial transactions S11 Non-financial and housing S121 The central bank S122 Other monetary financial institutions S123 Other financial intermediaries S124 Financial auxiliaries S125 Insurance S13 General government S14 Households S2 Rest of the world

13 Appendix table 9. Statistical discrepancy by sector, million EUR Sector/Instrument S11 Non-financial and housing Net financial transactions Net lending Statistical discrepancy S12 Financial Net financial and transactions insurance Net lending Statistical discrepancy S13 General government Net financial transactions Net lending Statistical discrepancy S14 Households Net financial transactions Net lending Statistical discrepancy S15 Non-profit institutions serving households Net financial transactions Net lending Statistical discrepancy S2 Rest of the world Net financial transactions Net lending Statistical discrepancy

14 Appendix figures Appendix figure 1. Financial assets of households, EUR billion Appendix figure 2. Change in financial assets of households, EUR billion 14

15 Appendix figure 3. Households' net acquisition of deposits, quoted shares and mutal funds, EUR billion Appendix figure 4. Emissions of quoted shares, EUR billion 15

16 Appendix figure 5. Households indebtedness ratio Appendix figure 6. Private sector debt as percentage of GDP 16

17 National Accounts 213 Inquiries Martti Pykäri Director in charge: Leena Storgårds rahoitus.tilinpito@stat.fi Source: Financial Accounts, Statistics Finland Information Service, Statistics Finland tel Publication orders, Edita Publishing Oy tel ISSN = Official Statistics of Finland ISSN (pdf)