The Portuguese are saving more because of the economic crisis, with bank deposits increasing by €35 million a day since the beginning of the year.
According to the latest statistics from the Bank of Portugal (BdP), private deposits soared by €7.4 billion between January and July to a total of €126.9 billion held in savings accounts in different banks.
According to studies carried out by the Universidade Católica for its Savings Indicator (Poupança Indicador), Portuguese savings grew to 103 GDP points in September, well above the historic average of 95 points.
The incentive to save for hard times is in direct inverse proportion to Portuguese consumer confidence, predictions for which suggest a 2% contraction or more in the coming months.
“Unemployment worries have returned to haunt the Portuguese in recent months as Portugal’s economic crisis has deepened,” the report states.
The main banks have been prepared for increased savings by running campaigns offering higher rates of interest in a bid to attract savers.