Favorable economic situation fosters the personal income growth – more than a third of residents of the Baltic states have acknowledged that their income has increased in the last 12 months, and savings for unexpected expenses and "rainy day" are being built actively – this is what is concluded in the branch review “Maxima Retail Compass”. Survey data shows, that neighbors Lithuanians are the most active savers - 82% of respondents save in Lithuania, 65% in Estonia and 60% in Latvia.
Most often, residents of all three countries answered, that they build up savings for unexpected expenses (59% on average), for a "rainy day" (43% on average) and for a certain purchase (38% on average).
“While survey data show that more than a third of residents in the Baltic countries have seen an increase in incomes, there is also an increasing tendency for funds to be directed prudently for savings. Comparing all three countries, we see that Latvians save more than their neighbors for a particular service, such as repairs or travel, and also think about ageing - pensions and inheritance for children,” comments Viktors Troicins, Business Director of "Maxima Latvija".
Analyzing the research data, it can also be seen that Lithuanians are the least confident about tomorrow's economic situation and save less than Latvians and Estonians because of the money left over. Only 15% of Lithuanians build up savings from the rest of the money, while in Latvia it is 21% and in Estonia - almost 18%. The majority of Latvian respondents (33%) with higher education, however, save money exactly for a "rainy day", as well as for some more expensive purchase or on a specific service, such as health, education, travel.
Estonians tend to save more than others on unexpected expenses and a certain more expensive purchase. They also save less than Latvians and Lithuanians for a "rainy day", as well as for retirement and ageing. Estonians' confidence in tomorrow is probably related to the overall favorable economic situation in the country, but the lower share of savings for ageing could be explained by the existing pension system, when the guaranteed amount is set at the first level.
The smallest number of respondents in all three countries directs investments or leave inheritance for children, 6% and 5% respectively. Similarly, there are very few respondents who save money to gain "fruits" for example in percentage points from investments or selling securities. The greatest number of respondents saves for this purpose in Latvia - about 7%, while in Lithuania for this purpose respondents save almost 6%, but in Estonia - 5%.
About the sectoral review “Maxima Retail Compass”:
“Maxima Retail Trade Compass” is a review of retail trade sector, within the framework of which experts of the retail chain “Maxima Latvija” have provided their assessment on the current situation in the retail trade sector and the development trends expected in the future. In this tenth review, the field of research was broadened to the Baltic scale and supplemented by conclusions of the expert discussion regarding the tendencies in the development of the retail trade sector today and in the future. Review was compiles on the basis of data collected by “Maxima Latvija”, as well as involving the best researchers of the sector from the market and public opinion research centre SKDS and using data provided by the Central Statistical Bureau and other sources.
Research was conducted in July and August 2019 in all three Baltic States via the research centre SKDS. 1005 residents of Latvia, 1055 residents of Estonia and 1066 residents of Lithuania aged 18 to 75 years participated in the research.
Information for media:
Liene Dupate-Ugule
Head of Communication at LLC (SIA) “Maxima Latvija”
Phone: 26425420
E-mail: liene.dupate@maxima.lv
www.maxima.lv
