Sentences with phrase «household debt ratios»

The Bank highlighted that household debt ratios will continue to rise, but these will be mitigated over time by the announced changes to housing finance rules.Even before the unanticipated rise in mortgage rates in October, the Bank revised down its economic forecast in large measure because of the federal government's new initiatives «to promote stability in Canada's housing market».

The BoC highlighted that household debt ratios will continue to rise, but these will be mitigated over time by the announced changes to housing finance rules.

Deputy governor Carolyn Wilkins says data backing the soft landing scenario includes a slowdown in housing starts, cooling in the construction of condos and the plateauing of household debt ratios, although at levels near those that existed prior to the U.S. meltdown in 2008.

By international standards, however, the increases started from a low base and household debt ratios in Australia are currently not far from the average of other industrial countries (Table 2).

household debt ratios are expected to rise further before stabilizing by the end of the projection horizon -LRB-...)

For these and other reasons, it is quite possible that the rise in household debt ratios could go a good distance further.

At the same time household debt ratio fell to 161.8 % in the first quarter compared to 162.6 % in the previous quarter.

Not exact matches

The IIF said Argentina, Nigeria, Turkey and China recorded the largest buildup in debt ratios over the year, the latter fueled by ongoing growth in indebtedness of households and the nation's finance sector.

«While China's total debt growth slowed notably in 2017 with a drop in the non-financial corporate debt - to - GDP ratio largely offset by rising household and financial sector debt,» the group said.

Their newest paper uses historical data from multiple countries to show that an increase in the ratio of household debt to gross domestic product over a three - to - four - year period predicts a decline in economic growth.

Previously, the Bank of Canada hinted it might raise rates to curb the borrowing binge, but in March it abruptly changed tack by affirming the household debt - to - income ratio is «stabilizing near current levels.»

Earlier this year, the household debt - to - income ratio hit another record of 167.8 per cent.

One key measure of our current distress is the household - debt - to - disposable - income ratio.

By borrowing: the country's household debt to personal disposable income ratio has climbed to a record high of 152.98 %, according to Statistics Canada.

Benjamin Tal, an economist with CIBC, reported in a study earlier this year that heavy borrowers, those with household debt - to - gross income ratios above 160, accounted for 34 % of all borrowers compared to 26 % in 2007.

In the third quarter, the ratio of household debt to disposable income rose to another record high of 165 %, nearing the peak of U.S. borrowing prior to the financial crisis.

According to Statistics Canada, the ratio of household debt to disposable income stood at just under 150 % at the middle of this year.

On the household - debt - to - disposable - income ratio, some experts see it as just one number out of many and insist that consideration must be given to the composition of the debt, such as how much of it is high risk.

Even if it is uncertain where the danger zones begin for the household - debt ratio, the briefing note to Morneau said there are «clear negative consequences» for the economy if the number gets too high or too low.

Policymakers are fixated on the debt ratio in part because it was at above 160 per cent that households in the United States and Britain ran into trouble about five years ago, contributing to defaults and the financial crisis that triggered the 2008 - 09 recession.

Over the past 20 years, Canadian households have more than doubled their ratio of debt to disposable income (a key measure of leverage relative to their ability to pay).

Statistics Canada reported the key ratio crept lower as total household credit market debt, which includes consumer credit, mortgage and non-mortgage loans, increased 1.1 per cent in the fourth quarter to $ 2.13 trillion.

Meanwhile, the total household debt service ratio, measured as total obligated payments of principal and interest as a proportion of household disposable income for both mortgage and non-mortgage debt, remained flat at 13.8 per cent in the fourth quarter.

It documents large differences in household debt - to - GDP ratios across countries but a common increasing trajectory that was moderated but not reversed by the global financial crisis.

The ratio of Canadian household debt to disposable income rose to a record 165 percent in the first quarter from 164.7 percent in the previous period.

Although the household debt to net worth ratio has declined considerably from its peak, it is still around 26 percent, well above the already elevated average of the past decade (Chart 19).

As a result, the household debt - to - income ratio has risen, although if account is taken of the increased balances held in offset accounts the rise is less pronounced (Graph 10).

Even achieving the present trajectory of domestic demand that we have, which has left the economy with a bit of spare capacity, has involved some net rise in the ratio of household debt to GDP.

I would like to say a little more about it today and will divide the subject into two aspects: the shorter - term cyclical fluctuations in household credit growth, and the fact that various debt ratios have trended upwards over time.

«The bank expects trend growth in household credit to moderate further, with the debt - to - income ratio stabilizing near current levels.»

Using the conventional total debt - to - income ratio, where debt is measured as a share of income, college - educated student debtors are by far the most indebted.2 The median college - educated student debtor has total debt equal to about two years» worth of household income (205 %).

The ongoing accumulation of household debt has led to a further increase in the debt - servicing ratio; interest payments as a proportion of disposable income rose to 9.3 per cent in the September quarter (Graph 23), and are expected to rise further.

Statistics Canada, the country's data agency, said the ratio of household credit - market debt to disposable income hit 163.4 % in the April - to - June period, an increase from the upwardly revised 161.8 % recorded in the first quarter.

The recent rise in the debt - servicing ratio is largely a result of households increasing their debt levels, rather than an unexpected sharp rise in interest rates, as occurred in the late 1980s.

Overall, the ratio of household debt to the disposable income of households (excluding unincorporated enterprises) has risen by 12 percentage points over the past two years to 94 per cent (Graph 16).

The debt - servicing ratio on household borrowing has now surpassed its late 1980s peak, and is set to rise further over the first half of 2004, given current rates of household credit growth.

At some point, increases in the debt - servicing ratio should eventually begin to constrain households» ability to increase their indebtedness.

The latest revised data from Statistics Canada showed the ratio of household debt to income fell slightly to 161.8 percent in the first quarter from a record 162.8 percent in the third quarter of last year.

U.S. households have also delevered debt, with the ratio of current obligations to income at 15.3 %, the lowest since the early 1980s.

We showed that deregulation impacts neither the probability to incur debt nor the debt - to - income ratio of low income households, which mitigates the fear that banking competition fosters «predatory lending».

The latest figures shows the household debt to disposable income ratio at 167 per cent — higher than in the U.S. before the crash.

Importantly, this decline has allowed households to borrow roughly twice as much relative to income as was possible in the late 1980s, while maintaining a given debt - servicing ratio.

As a result, household gearing — the ratio of debt to assets — increased to around 15 per cent in the March quarter.

These changes have resulted in a significant upward shift in the ratio of household debt to GDP, and thus a period of above - average credit growth.

The debt - servicing ratio reached 7.6 per cent of household disposable income in the March quarter (Graph 22).

The growth of gross household debt has seen the household sector's debt to income ratio on a gradually rising trend for much of the past decade.

The expansion of household debt has meant that the debt - servicing ratio — the ratio of interest payments to disposable income — has increased further over the past year (Graph 29).

Consequently, the household debt - servicing ratio reached 9.4 per cent of disposable income (Graph 26).

Revised data now suggest that the debt - servicing ratio reached 8.7 per cent of household disposable income in the September quarter, and it is likely to have surpassed its late - 1980s peak in the December quarter (Graph 27; see «Box B» for further discussion of the debt - servicing ratio).

The primary measure of the household sector's debt - servicing burden is the ratio of aggregate interest payments to disposable income.