The National Bank of Belgium has published an analysis finding that private consumption remains Belgium’s largest source of domestic demand but has become a less powerful growth driver since the global financial crisis. Its average contribution to annual domestic demand growth has fallen by about one third since 2011, reflecting a broad slowdown across spending categories rather than a material increase in consumption’s total import content. Transport and housing related consumption have weakened particularly, partly because greater fuel and energy efficiency and changing mobility patterns reduce measured volumes without necessarily lowering household welfare. The slowdown has been most pronounced in the Walloon Region, driven mainly by weaker consumption per capita. Consumption continues to track wages and salaries closely, while the saving rate has absorbed weaker property income and wage growth. Private consumption rebounded after the COVID-19 lockdowns but remains below the path implied by its 2011-2019 trend. Services and durable goods consumption have returned to trend, while spending on semi-durable and non-durable goods continues to lag.
2026-07-16National Bank of Belgium
National Bank of Belgium finds private consumption remains the main growth driver but has weakened
The National Bank of Belgium finds that private consumption remains Belgium’s main growth driver, although its contribution to domestic demand growth has fallen by about one third since 2011. Weaker transport and housing related spending, slower consumption per capita in the Walloon Region and subdued income growth have reduced momentum. Aggregate consumption also remains below its pre-pandemic trend, with semi-durable and non-durable goods lagging.