This is why the Riksbank analyses household debt

Date 09/07/2013

In June this year the Riksbank sent a letter to the major Swedish banks requesting information on households' loan obligations. This has led to questions being asked by the general public and the media.

 

The Riksbank has previously asked individual banks about companies' and households' loans. Now we have put the question to several banks at the same time. The data collected in by the Riksbank will be used to analyse the vulnerability of Swedish households as a result of their increasing debts and how potential risks are distributed among the population. The Riksbank will not have access to any personal data.

 

The background to the request is that household debt has grown substantially in recent years. Debt levels are currently high from both an international and a historical perspective. This makes households vulnerable. The Riksbank is therefore concerned that it may create risks for the Swedish economy. To be able to make the best possible analyses and to obtain a well-rounded picture of the risks entailed in the high debt levels, the Riksbank needs data on household loans.

 

Swedish law enables the Riksbank to collect this type of data. According to the Sveriges Riksbank Act, the Riksbank is responsible for ensuring that the payment mechanism in Sweden is safe and efficient. The Riksbank therefore oversees and analyses the Swedish banks' borrowers. Households in Sweden comprise an important group in this context.

 

The reason for this individual request is that we need a better base for our analysis to safeguard financial stability and economic growth in Sweden.