24.04.2024
The most important money-related topics for Estonian people are high prices, income and inflation.
In January, LHV and Kantar Emor examined which topics are most important for Estonian people in terms of money in today’s economic environment. The survey reveals that for 55% of the Estonian population, high prices are an important money-related topic and for 44%, it is the size of income.
High prices are of most concern for people in the age group 35–49, of whom 60% consider it an important topic for themselves or their families. However, the level of income is particularly significant in the 18–24 age group, of which 55% consider it important.
Inflation is also an important money-related topic for Estonian people: 27% of people worry that inflation will reduce the value of their savings. It is most significant in the 65–74 age group, of which 39% consider the impact of inflation on savings to be significant.
According to Annika Goroško, Head of Retail Banking at LHV, statistics reflect the developments in the economy in recent years. “In recent years, we have faced both inflation and recession, which has obviously put households in a more difficult situation. However, it can be seen that the people of Estonia are very responsible in terms of their obligations, because the level of loan arrears is low,” Goroško said.
21% of respondents to the survey stated that family budget issues or running out of money before payday were important for them. It is most prominent in the 35–49 age group, of which 28% stated it as important. The results also show that for 20% of people in Estonia, the amount of their future pension is important, as well as state taxes for the same proportion.
Savings are also an important issue for Estonian residents: 18% of respondents said they thought their savings buffer was low for the unexpected. The lack of a savings buffer is particularly relevant for the age groups 18–24 and 25–34, where 24% and 23% of people, respectively, consider the topic to be important.
“The results of the survey clearly show that financial wisdom is an important issue in our society and that information on this could reach even more people – the financial sector is also making efforts to this end. One way to start with financial wisdom is to get acquainted with the materials that banks offer: for example, podcasts, seminars or websites offering concise information,” Goroško said.
The survey was conducted by Kantar Emor on behalf of LHV. A total of 1093 people responded to the survey. For money-related topics, the respondent could choose up to three different options.
LHV Group is the largest domestic financial group and capital provider in Estonia. LHV Group’s key subsidiaries are LHV Pank, LHV Varahaldus, LHV Kindlustus, and LHV Bank Limited. The Group employs over 1,080 people. As at the end of February, LHV’s banking services are being used by 424,000 clients, the pension funds managed by LHV have 121,000 active clients, and LHV Kindlustus protects a total of 164,000 clients. LHV Bank Limited, a subsidiary of the Group, holds a banking licence in the UK and provides banking services to international financial technology companies, as well as loans to small and medium-sized enterprises.
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