Net lending and net borrowing of institutional sectors 09 Mar 2021
Published on 9 March 2021
Net lending or borrowing of an institutional sector is the difference between the sector's net acquisitions of financial assets and the net increase in its liabilities. We refer to net financing when the acquisitions of assets are greater than the increase in liabilities (the balance of the financial transactions account is then positive); net borrowing when the balance is negative.
Net lending/net borrowing of institutional sectors
EUR billions
Financial account and financial balance sheet by sector
The financial account is a flow account, i.e. it measures the financial transactions over a reference period (quarter or year). Added to the stock of the previous year, the flow, adjusted for various elements, determines the stock observed at the end of the current year. It describes, by type of instrument and for each institutional sector, the changes in financial assets and liabilities linked to acquisitions, disposals and commitments over a certain period. The balance is net lending or borrowing.
Financial balance sheets constitute an inventory of financial assets and liabilities outstanding amounts at the end of each period. Financial net worth is the remaining balance item in financial balance sheets. The relationship between the changes in stocks and transaction flows over a certain period is specified in . the revaluation accounts and other changes in volumeThis relationship is defined by the following formula:
Financial balance sheets constitute an inventory of financial assets and liabilities outstanding amounts at the end of each period. Financial net worth is the remaining balance item in financial balance sheets. The relationship between the changes in stocks and transaction flows over a certain period is specified in . the revaluation accounts and other changes in volumeThis relationship is defined by the following formula:
Stocks(t) = Stocks (t-1) + Flow(t) + Holdings_gains_losses(t) + Other_Changes_Volume(t)
Financial account and financial balance sheet published below show this relationship for four institutional sectors - households, non-financial corporations, financial corporations, general government
| Households | |||||||||
| 2017 | 2018 | 2019 | |||||||
| EUR billions | Stocks | Transactions | Revaluations | Stocks | Transactions | Revaluations | Stocks | Transactions | Revaluations |
| Financial assets, of which : | 5,455 | 150 | 130 | 5,383 | 89 | -147 | 5,872 | 168 | 328 |
| Currency and deposits | 1,491 | 67 | -1 | 1,559 | 67 | 0 | 1,650 | 90 | 0 |
| Debt securities | 51 | -5 | -1 | 44 | -6 | -2 | 41 | -4 | 1 |
| Loans | 10 | 0 | 0 | 11 | 0 | 0 | 10 | 0 | 0 |
| Equity and investment fund shares | 1,538 | 2 | 136 | 1,435 | -4 | -80 | 1,635 | 4 | 202 |
| of which equity | 1,215 | 4 | 113 | 1,164 | 15 | -59 | 1,337 | 16 | 157 |
| of which investment funds shares | 323 | -2 | 23 | 272 | -19 | -21 | 298 | -13 | 45 |
| Insurance, pension and standardised guarantees | 2,027 | 38 | -4 | 2,005 | 39 | -66 | 2,181 | 49 | 124 |
| others | 337 | 49 | 0 | 329 | -8 | 0 | 355 | 29 | 0 |
| Financial liabilities, of which : | 1,630 | 97 | -2 | 1,660 | 32 | 1 | 1,762 | 105 | 1 |
| Currency and deposits | 0 | 0 | - | 0 | 0 | - | 0 | 0 | - |
| Debt securities | - | - | - | - | - | - | - | - | - |
| Loans | 1,343 | 74 | -2 | 1,411 | 72 | 1 | 1,498 | 90 | 0 |
| Equity and investment fund shares | 10 | 0 | 0 | 10 | 0 | 0 | 10 | 0 | 0 |
| of which equity | 10 | 0 | 0 | 10 | 0 | 0 | 10 | 0 | 0 |
| of which investment funds shares | - | - | - | - | - | - | - | - | - |
| Insurance, pension and standardised guarantees | - | - | - | - | - | - | - | - | - |
| others | 278 | 23 | 0 | 238 | -40 | 0 | 254 | 15 | 0 |
| Net financial wealth (net financial assets) | 3,825 | 53 | 131 | 3,724 | 57 | -149 | 4,110 | 63 | 327 |
| Non financial corporations | |||||||||
| 2017 | 2018 | 2019 | |||||||
| EUR billions | Stocks | Transactions | Revaluations | Stocks | Transactions | Revaluations | Stocks | Transactions | Revaluations |
| Financial assets, of which : | 9,319 | 313 | 617 | 9,195 | 279 | -435 | 10,448 | 228 | 1,023 |
| Currency and deposits | 615 | 54 | -3 | 647 | 31 | 1 | 703 | 54 | 1 |
| Debt securities | 64 | 4 | 1 | 62 | 1 | -1 | 67 | 4 | 2 |
| Loans | 1,667 | 71 | -16 | 1,766 | 90 | 5 | 1,825 | 61 | 3 |
| Equity and investment fund shares | 5,677 | 102 | 638 | 5,423 | 156 | -442 | 6,487 | 35 | 1,017 |
| of which equity | 5,541 | 107 | 632 | 5,304 | 180 | -441 | 6,366 | 51 | 1,005 |
| of which investment funds shares | 136 | -5 | 6 | 120 | -25 | -1 | 121 | -16 | 11 |
| Insurance, pension and standardised guarantees | 42 | 3 | - | 42 | 1 | - | 43 | 7 | - |
| others | 1,255 | 79 | -3 | 1,255 | 0 | 1 | 1,323 | 68 | 1 |
| Financial liabilities, of which : | 11,493 | 319 | 831 | 11,333 | 310 | -474 | 12,759 | 240 | 1,193 |
| Currency and deposits | - | - | - | - | - | - | - | - | - |
| Debt securities | 590 | 21 | -10 | 600 | 29 | -19 | 671 | 39 | 32 |
| Loans | 2,684 | 133 | -10 | 2,857 | 172 | 3 | 2,972 | 121 | 3 |
| Equity and investment fund shares | 7,183 | 117 | 859 | 6,857 | 130 | -461 | 8,087 | 69 | 1,157 |
| of which equity | 7,183 | 117 | 859 | 6,857 | 130 | -461 | 8,087 | 69 | 1,157 |
| of which investment funds shares | - | - | - | - | - | - | - | - | - |
| Insurance, pension and standardised guarantees | - | - | - | - | - | - | - | - | - |
| others | 1,036 | 47 | -7 | 1,019 | -21 | 3 | 1,029 | 11 | 1 |
| Net financial wealth (net financial assets) | -2,174 | -5 | -214 | -2,138 | -31 | 39 | -2,311 | -12 | -169 |
| Financial Corporations | |||||||||
| 2017 | 2018 | 2019 | |||||||
| EUR billions | Stocks | Transactions | Revaluations | Stocks | Transactions | Revaluations | Stocks | Transactions | Revaluations |
| Financial assets, of which : | 14,907 | 1,539 | -934 | 15,275 | 1,297 | -1,058 | 16,276 | 1,542 | -515 |
| Currency and deposits | 3,618 | 344 | -42 | 3,955 | 88 | 17 | 4,303 | 339 | 9 |
| Debt securities | 3,542 | 142 | -87 | 3,642 | 164 | -65 | 3,805 | 98 | 88 |
| Loans | 3,228 | 137 | -19 | 3,592 | 285 | 9 | 3,753 | 155 | 6 |
| Equity and investment fund shares | 2,749 | 126 | 123 | 2,567 | 15 | -198 | 2,874 | 44 | 268 |
| of which equity | 1,598 | 53 | 87 | 1,459 | -1 | -137 | 1,671 | 39 | 177 |
| of which investment funds shares | 1,151 | 73 | 36 | 1,107 | 16 | -60 | 1,203 | 5 | 91 |
| Insurance, pension and standardised guarantees | 122 | 11 | - | 126 | 7 | - | 146 | 17 | - |
| others | 1,553 | 778 | -907 | 1,294 | 738 | -824 | 1,279 | 889 | -905 |
| Financial liabilities, of which : | 14,646 | 1,538 | -955 | 14,932 | 1,293 | -1,160 | 16,047 | 1,543 | -438 |
| Currency and deposits | 6,171 | 560 | -57 | 6,852 | 357 | 22 | 7,319 | 451 | 15 |
| Debt securities | 1,506 | 47 | -62 | 1,531 | 53 | -28 | 1,641 | 81 | 29 |
| Loans | 506 | -9 | -5 | 619 | 80 | 2 | 683 | 55 | 1 |
| Equity and investment fund shares | 2,659 | 79 | 64 | 2,420 | -23 | -216 | 2,692 | 0 | 272 |
| of which equity | 1,013 | 17 | 2 | 894 | 22 | -141 | 1,062 | 27 | 142 |
| of which investment funds shares | 1,646 | 63 | 62 | 1,527 | -45 | -75 | 1,630 | -27 | 130 |
| Insurance, pension and standardised guarantees | 2,217 | 51 | -4 | 2,200 | 49 | -67 | 2,401 | 76 | 125 |
| others | 1,575 | 809 | -890 | 1,297 | 777 | -874 | 1,298 | 881 | -880 |
| Net financial wealth (net financial assets) | 261 | 1 | 20 | 343 | 4 | 102 | 229 | -1 | -78 |
| General government | |||||||||
| 2017 | 2018 | 2019 | |||||||
| EUR billions | Stocks | Transactions | Revaluations | Stocks | Transactions | Revaluations | Stocks | Transactions | Revaluations |
| Financial assets, of which : | 1,341 | 41 | 22 | 1,353 | 32 | -17 | 1,438 | 23 | 57 |
| Currency and deposits | 147 | 17 | 0 | 161 | 14 | 0 | 173 | 12 | 0 |
| Debt securities | 58 | -9 | -1 | 53 | -4 | -1 | 54 | 1 | 0 |
| Loans | 107 | -1 | 0 | 104 | -3 | 0 | 105 | 1 | 0 |
| Equity and investment fund shares | 595 | 0 | 23 | 602 | 22 | -16 | 665 | 5 | 56 |
| of which equity | 470 | -3 | 17 | 475 | 14 | -10 | 521 | -1 | 44 |
| of which investment funds shares | 125 | 3 | 6 | 127 | 8 | -6 | 145 | 6 | 12 |
| Insurance, pension and standardised guarantees | 5 | 0 | - | 5 | 0 | - | 5 | 0 | - |
| others | 430 | 34 | 0 | 428 | 3 | 0 | 435 | 5 | 0 |
| Financial liabilities, of which : | 3,124 | 111 | -35 | 3,181 | 85 | -21 | 3,341 | 96 | 64 |
| Currency and deposits | 122 | 3 | + | 131 | 9 | + | 142 | 11 | + |
| Debt securities | 2,237 | 72 | -36 | 2,273 | 57 | -21 | 2,408 | 72 | 64 |
| Loans | 306 | -6 | 0 | 305 | -1 | 0 | 304 | -1 | 0 |
| Equity and investment fund shares | 44 | -1 | 0 | 58 | 14 | 0 | 59 | 1 | 0 |
| of which equity | 44 | -1 | 0 | 58 | 14 | 0 | 59 | 1 | 0 |
| of which investment funds shares | - | - | - | - | - | - | - | - | - |
| Insurance, pension and standardised guarantees | 0 | 0 | - | 0 | 0 | - | 0 | 0 | - |
| others | 415 | 43 | 0 | 413 | 6 | 0 | 426 | 13 | 0 |
| Net financial wealth (net financial assets) | 261 | -69 | 58 | -1,828 | -54 | 5 | -1,903 | -73 | -7 |