deleverage

To reduce debt by rapidly selling assets.

Verb

  1. To reduce debt by rapidly selling assets.
    • Because the country is exposed to large interest rate shocks, this triggers a strong precautionary-saving response: households deleverage fast and massively. - 2026, Hausmann-Guil, Guillermo, “Approximating around the...

Origin

Etymology tree Proto-Indo-European *de Proto-Indo-European *-h₁ Proto-Indo-European *déh₁ Proto-Italic *dē Latin dē Latin dē-der. English de- English leverage English deleverage From de- + leverage.

Forms

deleverages deleveraging deleveraged