The population’s debt in the Czech Republic, recorded in both the bank and non-bank registers, rose by 295.7 billion crowns (+8.9%) year-on-year, reaching a total of 3.6 trillion crowns by the end of 2024.
By the end of 2024, mortgages amounted to 2.99 trillion crowns – an increase of more than a quarter of a trillion crowns compared to the previous year, the highest rise since 2021. For the first time in ten years, the volume of non-performing home loans also grew to 4.6 billion crowns (+3%). Consumer debt increased by 6.6% to 618 billion crowns. The total debt of the population stood at 3.6 trillion crowns, of which 32.7 billion crowns (+10.9%) was attributed to non-performing loans, primarily consumer loans.
“The housing loan market gained significant momentum last year. Although the number of people with a housing loan fell by 1%, the average volume of long-term debt per customer rose by 10.5% to 2.85 million crowns. This means that while fewer people are taking out housing loans, the loan amounts are higher,” said Lenka Novotná, CEO of the Bank Client Register (NRKI – Nebankovní registr klientských informací).
Last year also saw a shift in the development of the volume of at-risk mortgages. These are loans that are more than 90 days overdue or already due. At the end of last year, this volume increased for the first time since 2015. However, the volume of at-risk home loans, at 4.6 billion crowns, was still well below previous levels – for comparison, in 2015, it was nearly 19 billion crowns.
The level of consumer debt also continued to grow, reaching 618 billion crowns, with the growth rate comparable to that of 2022 and 2023. In the long term, the volume of short-term debt is 24% higher compared to the situation five years ago. In recent years, the volume of short-term debt grew faster than long-term debt, but this trend reversed last year: in 2024, long-term debt grew faster than short-term debt. The number of people with consumer loans decreased by 64,000 (-2.7%) year-on-year. However, the average amount per customer increased by 9.6% to 272,250 crowns.
In 2024, the acceleration of growth in at-risk consumer debt continued. Compared to the end of 2022, when inflation surged, this volume grew more than three times faster. The volume of at-risk consumer debt increased by 12.3% year-on-year to 28 billion crowns.
A slight improvement in payment behaviour is observable among the oldest age group of debtors over 55 years old. In this group, the volume of at-risk short-term debt decreased by 3% year-on-year to just under 4.8 billion crowns.
