Date Published: Thu, 16 Apr 2015
Household savings unchanged in 2013
According to a report released today by the Central Statistics Office, Irish households generated gross saving of €11.4bn in 2013, compared to €11.5bn in 2012.
This information is contained in Institutional Sector Accounts – Non-Financial and Financial, 2013, which brings together comprehensive information on the economic activities of households, businesses (both financial and non-financial) and the government sector. The report also links relevant financial and non-financial information for each of the sectors.
Expressing household saving as a proportion of the gross disposable income of households the derived saving ratio was 12.7 per cent in 2013 practically unchanged from 12.9 per cent in 2012. In 2013 the saving ratio of EU households was also unchanged from 2012 at 11.0 per cent. In Ireland household saving continued to be used primarily to pay down debt in 2012 but was also used to fund the relatively low levels of investment in property without recourse to borrowing.
Non-financial corporations investing more
Investment by companies in the non-financial sector remained at similar levels to the previous year at €17.5bn in 2013 slightly down on €17.7bn in 2012. Expressed as a percentage of the value added of the sector the derived investment rate fell from 18.1 per cent in 2012 to 17.8 per cent in 2013. The profitability of the sector showed a deterioration from €57.1bn in 2012 to €55.1bn in 2013. However, this is largely explained by the activities of multinational corporations operating in Ireland whose profits accrue to their foreign owners.
Banking business declining
During 2013 the balance sheets of financial corporations increased, this is largely explained by the
activities of investment funds. In contrast the balance sheets of the other monetary financial institutions sector (mainly banks) contracted in 2013. The assets of the banking sector which reached a peak of €1,864.5bn in 2008 fell to €1,104.5bn in 2013. The corresponding liabilities declined from €1,870.5bn to €1,108.7bn over the same period.
Continued deterioration in Government finances
In 2013 the deficit on current government expenditure amounted to €7.2bn and taken together with investment in the year of €3.1bn this largely explains the net borrowing of government of €10bn. Government continued to rely on direct loans to finance its expenditure in 2013. Its consolidated gross debt increased from €218.9bn in 2012 to €231.8bn in 2013. As a result the debt/GDP ratio increased from 126.7 per cent in 2012 to 132.6 per cent in 2013.
For copies of the publication:
To view and download the publication, visit the CSO website at:
The data tables contained in the present report as well as for earlier years can be downloaded from Statbank on the CSO Website.
Non-Financial Accounts: Click here
Financial Accounts: Click here
For further information, contact:
Michael Connolly (+353) 1 498 4006
Mary Brew (+353) 1 498 4365
or email email@example.com
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