Household sector emerges main debtor of local economy

Prof Mansur says of the total lending to households, more than 30% goes to the property market financing and car loans.

KUALA LUMPUR: The household sector is exposed to inherent risks in the local financial system as it is the main debtor of the local economy with a household debt to gross-domestic-product ratio of more than 70%, said a professor of finance and econometrics.

Prof Dr Mansor Ibrahim of the International Centre for Education in Islamic Finance said the main concern in the country's economy was household debts.