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International Internet Magazine. Baltic States news & analytics Sunday, 19.05.2019, 15:49

35.7 % of households in Latvia paid for usual necessary expenses with difficulty in 2018

Liene Āboliņa, Social Statistics Data Compilation and Analysis Section, 14.03.2019.Print version
Data of the Central Statistical Bureau (CSB) show that in 2018 the share of households making ends meet with difficulty or great difficulty constituted 35.7%, which is 7.9 percentage points more than in 2017.

The share of households paying for usual necessary expenses with some difficulty or fairly easily has increased (from 51.2% in 2017 to 56.8% in 2018), as has the proportion of households making ends meet easily or very easily (from 5.3% to 7.4%, respectively).


                           Household ability to make ends meet; 2015–2018
(as %, the sum of answers equals 100 %)




Household ability to make ends meet; 2015–2018

The share of households paying for usual necessary expenses fairly easily or with some difficulty constituted 63.7% in Riga, 61.2% in Vidzeme, 55.8% in Kurzeme, 52.3% in Pierīga, 50.1% in Latgale and 48.3% in Zemgale.


The highest share of households making ends meet easily or very easily was registered in Riga (8.9%), Zemgale (8.1%) and Pierīga (8%). Lower share of such households was recorded in Kurzeme (6.2%), Latgale (5.8%) and Vidzeme (4.1%).

In Latgale and Zemgale, the greatest share of households (44.1% and 43.6%, respectively) made ends meet with difficulty or great difficulty.


Household ability to make ends meet in regions, urban and rural areas; 2018
 (as %, the sum of answers equals 100 %)


 

With difficulty or great difficulty

With some difficulty or fairly easily

Easily or very easily

Latvia

35.7

56.8

7.4

Urban areas

34.6

57.4

8.0

Rural areas

38.6

55.5

5.9

Riga

27.3

63.7

8.9

Pierīga

39.6

52.3

8.0

Vidzeme

34.7

61.2

4.1

Kurzeme

38.0

55.8

6.2

Zemgale

43.6

48.3

8.1

Latgale

44.1

50.1

5.8


The greatest difficulty to pay for usual necessary expenses was observed in households consisting of single elderly (aged over 65) – 54.8% of them admitted that make ends meet with difficulty or great difficulty. Households consisting of one adult with children also had difficulty or great difficulty to make the ends meet – 42.6%. The smallest share of such households was observed among couples with one child (17.1%).


Ability to make ends meet by household type; 2018
(as per cent)  



SILC


In 2018, Latvia population indicated that one household member would need at least EUR 555 monthly to make ends meet. It is EUR 46 or 9.1% more than mentioned in 2017 when inhabitants of Latvia pointed out that one household member would need at least EUR 509 monthly to make ends meet, while household disposable income constituted 96% of the sum, reaching EUR 489 per household member monthly.


In 2017, households having lower income (belonging to the first and second quintile group) were those that were not able to make ends meet the most often. In the first quintile group one household member would need at least EUR 360 monthly (disposable income thereof constituted only 45.1% of the sum, reaching EUR 162 per household member monthly), and in the second quintile group one household member would need EUR 446 monthly (64% and EUR 285, respectively).


In 2018, 62% of the poorest households (belonging to the first quintile group) paid for usual necessary expenses with difficulty or great difficulty. The share of such households among richest households (fifth quintile group) was notably smaller – 9.5%. Moreover, compared to the households belonging to the two bottom quintiles, households of the fifth quintile indicated significantly higher sum needed to make ends meet – at least EUR 711 per household member monthly.


Population opinion about sums needed to make ends meet and data on household disposable income were acquired with the help of the survey European Union Statistics on Income and Living Conditions (EU-SILC) 2018 conducted by the CSB. The survey covered 6 thousand households and 11 thousand respondents aged 16 and over.

 






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