Nearly 2 Million Portuguese Households Struggle Under Debt Burden
In Portugal, 1.9 million families are in debt, with repayments threatening more than half of household incomes.
📌 Key Highlights & Context
- 41.7% of 4.5 million households were indebted in 2024
- Half of indebted families spend at least 15% of net income on debt service
- Mortgage loans fell but debt pressure remains critical
Overall Debt Landscape
The 2024 Financial Situation Survey by Portugal's National Statistics Institute (INE) shows that 41.7% of the 4.5 million households – roughly 1.9 million families – carry some form of debt.
Impact on Household Income
For half of these families, debt repayments consume at least 15% of annual net income, squeezing budgets before essential expenses such as housing, food and health are covered.
- Mortgage loans, personal loans, credit‑card balances and overdrafts are the most common debt types.
- Although the share of indebted households fell by five points since 2020, the burden on incomes has not eased.
- Maintaining financial stability will require higher household savings and income growth.