Santander Business Strategy and Financial Inclusion slide image

Santander Business Strategy and Financial Inclusion

Macroeconomic environment and financial system Credit dynamics underpinned by strong new originations, especially for mortgages. Deposits reflect the historically high household savings rate. Total loans (EUR bn) 226.2 225.2 223.2 221.6 219.2 4.4 4.3 YOY 3.4 3.4 (%) 2.1 Sep-20 Dec-20 Mar-21 Jun-21 Aug-21 Total deposits (EUR bn) 264.9 267.6 256.8 248.6 252.2 7.3 7.7 6.8 7.2 5.6 YOY (%) Sep-20 Santander Dec-20 Mar-21 Jun-21 Aug-21 ་ Source: Statistics Portugal, Ministry of Finance, Santander Portugal forecasts and estimates. Loans grew on a yearly basis due to the policy measures implemented, credit lines with state guarantees for the corporate sector and moratoria on loans to households and corporates (which ended in September 2021) In 2021, mortgage production recorded its highest level since 2008 The pandemic resulted in a significant increase in the savings rate to 11.5% of disposable income in Q2'21, the highest since the 2000s As a result, deposits continued to grow due to precautionary savings and despite diversification into off-balance resources 4
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