The indebtedness of non-financial companies is below €920 billion, the lowest level since September 2020. Specifically, Spanish companies accumulated debts of €918,500 million at the end of May, a reduction of €8,000 million with respect to the same month of the previous year, 0.8% less. To find a similar level, one has to go back to September 2020. Companies are just under €46 billion short of the €872.575 billion of the ‘pre-Covid era’.
Since the peak reached in August 2022 (€960 billion), when the ECB started to raise rates, the slowdown in demand and the granting of credit has been a constant.
This downward trend in business credit is also accompanied by the fall in credit to households, which also recorded falls in year-on-year terms. The overall balance of loans to households is close to €680,000 million, with a constant fall in mortgage credit (€494,000 million in April) and a rise, also constant, in consumer credit, with a much higher average rate (8%) which now represents €101,000 million.
