Germany: non-consolidated private sector debt 2000-2019

Private sector debt includes the stock of liabilities, debt securities and loans, held by non-financial corporations, households and non-profit institutions serving households. Between 2000 and 2019, the non-consolidated debt of the private sector in Germany increased by over 1.2 trilllion euros, reaching its highest value of 3.92 trillion euros in 2019. Germany also had the second highest private sector debt among all countries in the eurozone.

Indebtedness is correlated with rising income levels since borrowing allows increase in consumption and investment. Nevertheless, overborrowing exposes businesses to risk of changes in economic conditions, interest rates and inflation.