0.5 C
Munich

According to Banco de Portugal, the Portuguese will pay another 130 million euros in loan payments by the end of 2023, a 33% increase.

Must read

TAGO PETINGA/LUSA

TAGO PETINGA/LUSA

The total amount that the Portuguese will pay off in mortgage installments is expected to rise from 390 million euros in June 2022 to 520 million at the end of 2023 – this is an increase of 130 million euros, or 33%🇧🇷 This is the calculation made by the Bank of Portugal in the Financial Stability Report published this Wednesday. However, based on current market rates, 41% of contracts home loans, the premium increase between June 2022 and December 2023 is expected to be less than 50 euros but only in 18% of contracts anticipate exceeds 150 euros in the monthly installment.

Based on the starting point, which is June 2022, when the increase in interest rates became more significant, Banco de Portugal explains that this exercise quantifies the impact of the Euribor rate increase on housing debt servicing and therefore considers the expected evolution of 3-, 6- and 12-month Euribor until December 2023. In practice, based on current market expectations (3-month Euribor futures), O Banco de Portugal expects we will have Euribor rates in the region of 3% in December 2023🇧🇷

Although more resilient to adverse shocks, household savings capacity is patchy, which could make it difficult for households with less liquidity to meet higher debt-servicing costs, especially if the period of high inflation continues,” the Bank of Portugal said in a November report. Financial Stability Report.

The report was unveiled this Wednesday at a press conference at the Banco de Portugal headquarters in Lisbon, featuring Governor Mario Centeno and Administrator Luis Laginha de Souza, who is in charge of financial stability but is leaving the oversight body – the path to the presidency. from the CVM. In a brief statement, Centeno called for a “collective” effort to curb inflation.

Source: Observador

More articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Latest article

Related