Deposits, Financial Services, Investments, Latvia, Society

At the end of 2013, the total amount of households' savings was EUR 7.3 billion.

Most of the amount is deposited in banks – EUR 5 billion, followed by state-funded pension schemes – EUR 2 billion, private pension schemes – EUR 281 million, investment funds – EUR 241 million, debt securities – EUR 193 million, company shares – EUR 131 million, life insurance – EUR 177 million, and others.

The Financial and Capital Market Commission attributes the increase in households' savings to the economic growth and rising salaries for the past few years, as well as low inflation. The growth in households' savings resumed in 2013 following stagnation that had continued for several years.

The commission also notes that the amount of loans issued to households by banks reached EUR 5.5 billion in 2014, and the amount of deposits – EUR 5.1 billion. This is a much better proportion than in 2007, for instance, when the amount of bank loans exceeded residents' deposits almost twofold.