Eurozone Savings Rate Drop Could Unlock Demand Worth About 1% of GDP, ING Says

ING economists Marieke Blom and Amrita Naik Nimbalkar said in a report that if the eurozone savings rate falls back to pre-pandemic levels, it could unlock demand for goods and services worth about 1% of GDP. According to Jin10, they said household savings accounted for 14.3% of disposable income in the first quarter of this year, above the 12.5% average in the five years before the pandemic. In the United States, the savings rate in the final quarter of 2025 was 10.2%, a level they said could lift eurozone GDP by nearly 2%. They said consumption was expected to remain weak as higher mortgage rates, slower credit growth, and precautionary saving weigh on spending. However, they added that a shift from bank deposits to investment could lay the groundwork for stronger spending and internal demand in the coming years.