State officials are celebrating the biggest funding drive from households in the small country’s history. Lenders saw clients massively withdraw money from deposits that barely generate any profits at a time of high inflation

Belgium has raised a record €21.9 billion ($23.65 billion) from savers in a bond sale designed to compete with bank deposits, a sign of growing popularity for government debt as discontent grows with lenders failing to keep up with surging interest rates. The sale marks the biggest funding drive from households in Belgium’s history and is likely Europe’s biggest retail bond sale, the country’s debt agency says.

  • anewbeginning@lemmy.worldEnglish
    12·
    1 year ago

    Banks have so much liquidity that they don’t even need to hold on to all of the current deposits. Otherwise the rates would go up.