Debt Developments in the Nonfinancial Private Sector, Third Quarter of 2020


Statistical Publications
The following is a summary of developments in nonfinancial private sector debt in the third quarter of the year:


·         In the third quarter of 2020, there was an increase of about NIS 9 billion (1 percent) in the balance of business sector debt, due to the increase in outstanding nonbank debt, mostly raised abroad.

·         The spread between the yields on corporate bonds included in the Tel Bond 60 index and the yields on indexed government bonds continued to narrow, to about 1.4 percentage points, following the significant widening in the first quarter, mainly in March, in view of the COVID-19 crisis.

·         The balance of households’ housing debt continued to increase in the third quarter, growing by about NIS 8 billion (1.9 percent).

·         The balance of nonhousing debt declined by about NIS 1 billion (0.4 percent) in the third quarter. Since the beginning of the year, nonhousing debt declined by about 4 percent, mainly in the first quarter of the year, in view of the COVID-19 crisis.