Government debt up to 89.5% of GDP in euro area

Government debt up to 89.5% of GDP in euro area

Government debt up to 89.5% of GDP in euro area

The FINANCIAL -- At the end of the first quarter of 2017, the government debt to GDP ratio in the euro area (EA19) stood at 89.5%, compared with 89.2% at the end of the fourth quarter of 2016.

In the EU28, the ratio also increased from 83.6% to 84.1%. Compared with the first quarter of 2016, the government debt to GDP ratio fell in both the euro area (from 91.2% to 89.5%) and the EU28 (from 84.3% to 84.1%).

At the end of the first quarter of 2017, debt securities accounted for 80.1% of euro area and for 81.3% of EU28 general government debt. Loans made up 16.9% and 14.7% respectively and currency and deposits represented 3.0% of euro area and 4.0% of EU28 government debt. Due to the involvement of EU governments in financial assistance to certain Member States, quarterly data on intergovernmental lending (IGL) is also published. The share of IGL in GDP at the end of the first quarter of 2017 amounted to 2.1% in the euro area and to 1.6% in the EU28.

Government debt at the end of the first quarter 2017 by Member State

The highest ratios of government debt to GDP at the end of the first quarter of 2017 were recorded in Greece (176.2%), Italy (134.7%) and Portugal (130.5%), and the lowest in Estonia (9.2%), Luxembourg (23.0%) and Bulgaria (28.6%).

Compared with the fourth quarter of 2016, twelve Member States registered an increase in their debt to GDP ratio at the end of the first quarter of 2017, and fifteen a decrease. The highest increases in the ratio were recorded in the Czech Republic (+3.1 percentage points – pp), Luxembourg (+3.0 pp), Croatia (+2.6 pp) and France (+2.3 pp). The largest decreases were recorded in Greece (-2.9 pp), the Netherlands (-2.2 pp) and Austria (-2.0 pp).

Compared with the first quarter of 2016, eight Member States registered an increase in their debt to GDP ratio at the end of the first quarter of 2017, and nineteen a decrease. The highest increases in the ratio were recorded in Latvia (+2.7 pp) and Poland (+2.2 pp), while the largest decreases were recorded in the Netherlands (-4.7 pp), Germany (-4.0 pp), Austria (-3.8 pp), Malta (-2.9 pp) and Denmark (-2.7 pp).