Housing loans

During the first six months of 2013, the stock of Finnish households’ euro-denominated fixed-term deposits contracted by EUR 2.3 billion, or 11.6%. Some fixed-term deposits appear to have been transferred to overnight transaction accounts. In the first half of 2013, the stock of overnight deposits increased by EUR 3.3 billion, or 6.8%. Lower deposit rates have contributed to the weakening attraction of fixed-term deposits. The average interest rate on the stock of fixed-term deposits was 1.46% in June 2013, compared with 1.82% in December 2012.

Long-term savings agreements are losing favour. Finnish households concluded only 122 new long-term savings agreements in the second quarter of 2013. During the same period a year earlier, in April–June 2012, there were still more than 1,500 new agreements concluded. The attraction of long-term saving is eroded by the entry into force at the beginning of 2013 of an act raising the age for withdrawal of deposits under these agreements from 63 years to 68 years. New deposits placed in April–June totalled EUR 2.7 million. At the end of June, deposits in long-term savings accounts totalled EUR 57 million, with an aggregate number of 27,814 agreements. Savings assets are predominantly invested in fund units (66%) and shares (20%).


New drawdowns of housing loans in June 2013 amounted to EUR 1.4 billion, or EUR 0.5 billion less than a year earlier. The average interest rate on new drawdowns in June was 2.04%, slightly higher than in May. Outstanding euro-denominated housing loans to households amounted to EUR 87.4 billion at the end of June and the average interest rate was 1.46%. The annual growth rate of the housing loan stock continued to decline in June, to 3.9%. At the end of June, household credit comprised EUR 12.9 billion in consumer credit and EUR 15.2 billion in other loans.

New drawdowns of loans to non-financial corporations (excl. overdrafts and credit card credit) amounted to EUR 3.0 billion in June, as in June 2012. The average interest rate on new corporate-loan drawdowns fell by 0.13 of a percentage point from May, to 1.90%. The stock of euro-denominated loans to non-financial corporations at the end of June was EUR 64.9 billion, of which loans to housing corporations accounted for EUR 17.0 billion. The annual growth rate of the euro-denominated corporate loan stock accelerated by 0.3 of a percentage point from May, to 4.3% in June.


The total stock of household deposits at the end of June amounted to EUR 82.9 billion. The average interest rate on deposits was 0.54%. Overnight deposits accounted for EUR 50.9 billion and fixed-term deposits for EUR 17.6 billion of the deposit stock. In June, households signed new fixed-term deposit contracts valued at EUR 1.2 billion. The average interest rate on new fixed-term deposits was 1.04%.

MFIs comprise all monetary financial institutions operating in Finland.
Loans and deposits comprise all euro-denominated loans and deposits vis-à-vis the euro area as a whole, with countries other than Finland accounting for a very small share of total volumes.


Key figures of Finnish MFIs' loans and deposits, preliminary data

EUR million
EUR million
EUR million
12-month change1, %
Average interest rate, %
Loans to households2, stock 114,962 115,365 115,527 3.4 1.87
    - of which housing loans 86,815 87,093 87,443 3.9 1.46
Loans to non-financial corporations2, stock 64,719 64,925 64,911 4.3 1.91
Deposits by households2, stock 82,210 82,099 82,943 -0.7 0.54
Households' new drawdowns of housing loans 1,301 1,484 1,383 2.04

1 Rate of change has been calculated from monthly differences in levels adjusted for classification and other revaluation changes. 
2 Households also include non-profit institutions serving households; non-financial corporations also include housing corporations.

For further information, please contact:
Peter Halonen, tel. +358 10 831 2323, email: peter.halonen(at)bof.fi,
Essi Tamminen, tel. +358 10 831 2395, email: essi.tamminen(at)bof.fi

The next news release will be published on 30 August 2013 at 1.00 pm.

Related statistical data and graphs are also available on the Bank of Finland website:  http://www.suomenpankki.fi/fi/tilastot/Pages/default.aspx.

You can also subscribe to the monthly Loans, deposits and interest rates –newsletter to your email from the Bank of Finland website