Household Sector Indebtedness and Its Impact on Financial Stability Indicators in Egypt

Abstract

The research examines with studying the problematic relationship between the indebtedness of the family sector and financial stability by studying the facts provided by economic theory, research and studies, and then studying the case of Egypt by collecting and analyzing the facts and data related to the studied variables, and the problem of the research is to question the impact of the indebtedness of the family sector on financial stability in Egypt, and the hypothesis of the research is that the developments of financial globalization and financial openness, and by collecting and analyzing the facts Economic and related historical data, as well as the adoption of the inductive approach by making hypotheses among the studied relationships, and analyzing the relationship between variables .The research reached a set of conclusions, the most important of which is the weak impact of family sector indebtedness on financial stability due to the limited amount of bank financing for the family sector and the structural imbalance in the relationship between family spending and bank credit, and the weak capabilities of the private sector in accessing and employing finance , and the most prominent recommendations were the need to follow an economic policy to enhance the role of the family sector in economic growth by increasing the credit provided to the family sector to enhance economic growth According to the levels of household debt commensurate with the requirements of sustainable financial stability.