The German Bundesbank published sectoral results from Germany’s financial accounts for the fourth quarter of 2025, showing a renewed strong rise in private households’ financial wealth alongside weaker external financing by non-financial corporations. The update also highlights that inflation-adjusted returns increased overall but remained negative for less wealthy households. Private households’ financial assets rose by EUR 148 billion to EUR 9,504 billion, driven by EUR 78 billion in net transactions and EUR 70 billion in valuation gains, with net financial asset formation broadly unchanged from the prior quarter at EUR 76 billion. Households continued to favour highly liquid holdings, adding EUR 63 billion in cash and overnight deposits; term deposits increased by EUR 8 billion while savings deposits and savings certificates fell by EUR 3 billion. Despite valuation gains of EUR 23 billion, households were net sellers of domestic and foreign listed shares (EUR 3 billion each), while investment fund units saw EUR 25 billion in valuation gains and EUR 18 billion in net purchases; net bond purchases were EUR 1 billion with EUR 3 billion of valuation gains. Household liabilities increased to EUR 2,176 billion as borrowing slowed to EUR 9 billion, bringing the debt-to-GDP ratio down to 48.7%; net financial wealth rose by EUR 140 billion to EUR 7,327 billion. For non-financial corporations, external financing fell by EUR 14 billion quarter-on-quarter to EUR 35 billion, mainly reflecting a drop in net new borrowing to near zero (with cross-border loans at minus EUR 20 billion); net debt securities issuance was EUR 2 billion and net equity issuance EUR 18 billion. Corporate liabilities rose by EUR 140 billion to EUR 12,154 billion, largely due to valuation effects of EUR 104 billion, while the debt ratio declined to 67.2%; financial assets increased to EUR 9,029 billion and net financial wealth fell to minus EUR 3,125 billion. The Bundesbank noted that revisions to the financial accounts and national accounts mean the figures are not comparable with earlier press notes, and that the Distributional Wealth Accounts have been revised from 2026 onwards to incorporate results from the Bundesbank’s 2023 household survey.
German Bundesbank 2026-04-16
German Bundesbank reports household financial assets rising to EUR 9.504 trillion and non-financial corporate external financing falling to EUR 35 billion in Q4 2025
The German Bundesbank reported a strong increase in private households’ financial wealth in the fourth quarter of 2025, alongside weaker external financing by non-financial corporations. Households’ net financial wealth rose by EUR 140 billion to EUR 7,327 billion, driven by higher financial assets and slower borrowing, while inflation-adjusted returns improved overall but remained negative for less wealthy households. The Bundesbank also noted that revisions to the financial and national accounts, including updated Distributional Wealth Accounts from 2026, limit comparability with earlier data.