Business · Economy · 1 day ago
Spanish savers lose value as €942 billion sits in low-paying accounts
Nearly €942 billion is held in Spanish current accounts, which pay an average interest rate of just 0.16%.
With prices rising, the money loses purchasing power even though its balance may not fall.
The article estimates inflation will reduce the value of these savings by €36.7 billion this year.
Many Spanish savers keep money in current accounts rather than moving it into term deposits or investments.
A private banking executive says many are cautious and may not recognise how inflation affects what their savings can buy.
The Spanish government has included a new tax-favoured savings and investment account, called Caife, in a housing decree.
It is intended to encourage people to invest in European companies, but the article gives no further details on when it will be available.
Nearly €942 billion is held in Spanish current accounts that earn little interest, according to La Vanguardia.
The balances earn an average of 0.16%, while inflation is expected to average 3.9% this year, the article reports.
The article estimates that inflation will reduce the value of savings by €36.7 billion this year.
It says Spanish savers hold much more money in current accounts than in fixed-term deposits.
The Spanish government has included a tax-advantaged savings and investment account in a housing decree to encourage investment in European companies.
- Who
- Spanish savers, who hold money in low-paying current accounts.
- What
- Their savings are losing value to inflation while earning little interest.
- When
- The article was published on October 11, 2026, and discusses figures and forecasts for this year.
- Where
- Spain.
- Why
- Current accounts offer an average return of 0.16%, while inflation is higher.
This story does not have two clearly opposing sides.
Fixed-term deposits were more common than current accounts until this year, when the balance shifted.
Prices rose by 4.9%, according to the article.
La Vanguardia published its report on savings held in low-paying accounts.
- Current-account balances
- €941.609 billion
- Average current-account return
- 0.16%
- Forecast average inflation
- 3.9% this year
- Estimated loss in savings value
- €36.7 billion this year
- Fixed-term deposits
- €168.166 billion
What people are saying
If that money earned returns, GDP would grow.
Spanish savers are very conservative and do not consider inflation a risk.
Sources
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