FMA Survey on foreign currency lending in Q1 2018: share of foreign currency loans has fallen from 31.8% (2006) to 10.5% of all loans to private households.
The outstanding volume of foreign currency loans (FX lending) to private households fell by EUR 340 billion or -2.1% adjusted for exchange rate effects in the first quarter of 2018. Consequently, since the introduction of the ban on granting of new loans in the autumn of 2008 and the accompanying measures to limit risk, the outstanding volume of foreign currency loans (FX lending) to private households has fallen by EUR 31.31 billion or -67.4% adjusted for exchange rate effects. In absolute figures there are foreign currency loans to private households outstanding with a current value of € 15.65 billion; in 2006, at its highest level, this amount stood at € 38.8 billion. This is the finding of the FMA’s survey on foreign currency loans in the first quarter of 2018.
The share of foreign currency loans in relation to all outstanding household loans fell to 10.5% at the end of Q1 2018, a decrease of 3.4% year-on-year. Compared with the height of the foreign currency loan boom, where this share stood at 31.8%, falling from approximately one-third to around one-tenth. At the end of Q1, 96.2% of the volume of loans in foreign currencies was for loans denominated in Swiss franc (CHF), with the remaining amount almost exclusively in Japanese Yen.
Since the start of 2008, the Swiss franc (CHF) appreciated by 40.5% up until 31 March 2018 against the euro; during the first quarter of 2018 the exchange rate varied between 1.15 and 1.18, following the removal of the minimum exchange rate floor of 1.20 in January 2016.
Journalists may address further enquiries to:
Klaus Grubelnik (FMA Media Spokesperson)
+43/(0)676/882 49 516