Within the private sector, households – through current accounts and savings – provide the most resources to banks in the Netherlands (16%). They are followed by other financial institutions (10%), such as special purpose vehicles (SPVs), companies (8%), and insurers and pension funds (together 2%). A considerable part of the banks’ funding requirement is covered through the issue of debt securities, such as bonds (18%). Banks in the Netherlands attract EUR 485 billion of borrowed funds from outside the euro area (22%, mainly deposits and long-term loans).
The share of interbank financing decreased over the past four years, from 11% in 2005 to 8% now. On the other hand, the share of debts to the private sector in the banks’ funding requirement has increased (from 33% to 36%). This mainly reflects the growth of deposits that SPVs started holding at banks in connection with the marketability of residential mortgages (securitisations).