The Structure of the Estonian Financial Sector discusses factors that affect the architecture and design of the financial sector in Estonia. It provides a background for understanding the development trends and risks described in the Financial Stability Review.
The Structure of... more
Financial stability means the smooth functioning of financial intermediation under both normal and unexpectedly adverse circumstances.
Safeguarding the stability of the financial system is one of the key functions of Eesti Pank under the Eesti Pank Act. The central bank oversees the... more
Borrowing by households slowed at the start of the year, but it bounced back in April as households were active in taking housing loans and car leases. The corporate loan portfolio has gradually increased in volume and the average... more
The stock of housing loans grew quite fast in March, but the number of new loan contracts signed has been smaller recently than it was a year ago. Corporate loans increased mainly because of energy companies, while demand for credit remained... more
The financial position of the Estonian banking sector is good and the risks to it are small. The biggest risks for Estonian banking are related to the money laundering scandals that have hit the Nordic banking groups operating in Estonia. Reputational damage to the banks could worsen the funding... more
The indebtedness of the companies and households that make up the Estonian private sector, which is shown as the ratio of debt liabilities to GDP, shrank notably in 2018 to 112% at the end of the year as nominal GDP grew quickly. The... more
Growth in housing loans continued at its earlier rate in February, but there was slightly reduced take-up of consumption loans and car leases. Deposits continue to grow fast though. Businesses have borrowed less in recent months than earlier... more
Eesti Pank has added LHV Pank to the list of providers of vital services. A service is vital if an interruption to it would cause an immediate threat to life or health, the functioning of society, or the supply of some other essential or generally necessary services. Payment services and cash... more