Analytics, Financial Services, Latvia
International Internet Magazine. Baltic States news & analytics
Thursday, 28.03.2024, 17:23
Total savings by Latvian households grow to EUR 9.6 bln in 2016
Total savings increased by EUR 1 bln
last year, which is the steepest growth in the last four years.
The total includes deposits at
Latvian commercial banks, contributions to the second-pillar
(government-funded) and third-pillar (private) pension schemes as well as
financial instruments. Deposits account for 61% of total savings by Latvian
households, second-pillar pension assets make up 29%, third-pillar pension
assets 4% and financial instruments 6%.
Bank deposits increased 8.9% in
2016 to EUR 5.86 bln at the end of the year.
Second-pillar pension assets grew
18. % during last year to EUR 2.8 bln, and third-pillar pension assets amounted
to EUR 380.6 mln. Contributions to the third-pillar pension schemes reached a
new annual record-high in 2016 - EUR 71.8 mln at a 6.3% growth from 2015.
The financial watchdog also
published the Household Financial Sustainability Index for 2016 which is +7.7
points (+4.2 points in 2015). The index is based on five indicators - the
loan-to-deposit ratio, deposits in percent of GDP, interest payments by
households in percent of GDP, average net wage and the unemployment rate.