10064_not-searchable
/en/nasjonalregnskap-og-konjunkturer/statistikker/finsek/arkiv
10064
Fall in households’ net financial wealth
statistikk
2007-01-26T10:00:00.000Z
National accounts and business cycles
en
finsek, Financial accounts, financial investments, households and non-profit organisations, general government, abroad, balance sheets, FINSEFinancial accounts , National accounts and business cycles
false

Financial accountsQ3 2006

Content

Published:

This is an archived release.

Go to latest release

Fall in households’ net financial wealth

The financial accounts for households and non-profit institutions serving households are characterised by a continued high level of borrowing in the third quarter of 2006. Simultaneously, the acquisition of financial assets fell compared to the preceding quarters.

Net lending and change in net financial assets over the last four quarters. NOK billion. Net assets as ratio of disposable income

Households’ net lending was NOK -26.6 billion in the 3rd quarter of 2006, compared with NOK -7.4 billion in the same quarter of the previous year.

Net holding gains in the securities market contributed to the increase in the value of households’ financial assets by NOK 18.5 billion in the 3rd quarter of 2006. However the reduction in net lending led to an overall fall in net financial assets of NOK 8.1 billion in the quarter.

Households` net lending over the last four quarters totalled NOK -39.4 billion. This is NOK 19 billion less than in the four quarter period, that lasted from the third quarter of 2005 to the second quarter of 2006. The households’ acquisition of financial assets totalled NOK 138.2 billion in the last four quarter period, while incurrence of debt totalled to NOK 177.6 billion during the period, which is about the same level as in the previous four quarter period. Households’ borrowings from financial enterprises explain the debt growth.

Lower net lending in local government are explained by lower deposits

The net lending of local government over the last four quarters fell from NOK 6.8 billion in the second quarter of 2006 to NOK 4.1 billion in the third quarter of 2006. The net lending of the local government over four quarters has shown a growing trend since the second quarter of 2003, but saw a moderate decrease from the second to the third quarter in 2006. This is partly explained by a fall in transactions in deposits over the last four quarters from NOK 9.3 billion in the second quarter to NOK 7 billion in the third quarter.

During the period from the fourth quarter of 2003 to the third quarter of 2006, local government has redistributed its debt from bonds to loan debt. Total debt at the end of the third quarter is estimated to just below NOK 290 billion.

Net foreign assets experiencing strong growth

Norway’s net foreign assets are calculated to NOK 1 389 billion at the end of the third quarter of 2006, which is an increase of NOK 229 billion during the quarter. The increase can be explained by net lending in the rest of the world of almost NOK 93 billion and net holding gains of NOK 136 billion.

Norwegian financial investments abroad totalled NOK 308 billion, while foreign investments in Norway were NOK 215 billion in the third quarter of 2006. Apart from Norges Bank and the Government Pension Fund, the net lending in the rest of the world was NOK -1.2 billion in the third quarter of 2006. The net lending over the last four quarters to the third quarter of 2006 totalled 17 per cent of the GDP, compared to 15.3 per cent for 2005.

Financial accounts for households and non-profit institutions serving households. NOK billion
  1. quarter 2005 2. quarter 2005 3. quarter 2005 4. quarter 2005 1. quarter 2006 2. quarter 2006 3. quarter 2006
  Stocks, end of quarter
Financial assets 1 820 1 893 1 945 2 003 2 076 2 097 2 126
Liabillities 1 422 1 483 1 519 1 573 1 605 1 660 1 697
Net financial assets/net financial wealth  398  409  426  430  471  437  428
               
  Sum over the last four quarters
Change in net financial assets/net financial wealth 28 42 61 64 74 27 2
Other changes 12 19 37 28 55 47 41
Net lending 16 23 24 36 19 -20 -39