680 million went into certificates in October, the highest amount in almost eight years – Markets

State savings products have captured household savings in Portugal for seven consecutive months. In October, stocks of savings and Treasury certificates rose again to a total of 31,849.18 million euros, 679.13 million euros more than in September.

This is the highest monthly entry since January 2015, that is, in almost eight years, according to data released this Monday by the Bank of Portugal. The trend is due to the greater attractiveness of savings certificates in recent months thanks to remuneration indexed to Euribor, which reacts immediately to the increase in interest rates of the European Central Bank (ECB).

The amount of these products rose, in October, to 16.020,16 million euros, 1,409.32 million euros more than in September. In the case of the “stock” of Treasury certificates, there was a further reduction to 15.829,02 euros, 730.19 million euros less than in the previous month. The break in Treasury certificates has been occurring for 12 consecutive months. The combination of greater demand for the former and less interest in the latter led to, for the first time since the beginning of 2017, savings certificates having a greater weight in the total stock than Treasury certificates.

Even so, the decline in CT has been more than offset by the increase in savings certificates, whereby between January and October 2022 €1,531.64 million of household savings entered these State savings instruments.

The Ministry of Finance anticipates that, for the year as a whole, “net funding through Savings Certificates should amount to €3 billion, more than offsetting the reduction in funding through Treasury Certificates by €1.6 billion euros”, as can be read in the State Budget proposal.