People had nearly 5% more to spend in 2016

Results of the survey conducted by the Central Statistical Bureau (CSB) in 2017 and released December 19 show that, compared to 2015, in 2016 household disposable income increased by 4.9 %, reaching 437 euros per household member monthly.

The growth rate of household income continued to slow down, compared to the increase recorded in the previous years – 7.6 % in 2015, 9.3 % in 2014 and 10.7 % in 2013.

In 2016, household disposable income in urban areas increased by 4.2 %, reaching 467 euros monthly. In rural areas, the indicator rose more rapidly – by 6.7 %, reaching 372 euros monthly.

The regional breakdown indicated notable differences in monthly household income per household member. The largest growth in household disposable income was recorded in the Pierīga region – of 7.2 % (478 euros monthly), while the lowest increase was observed in the Kurzeme region – of 1.8 % (396 euros monthly).

Income in Riga grew by 3.7 % (528 euros monthly), in Zemgale – by 4.9 % (386 euros monthly), in Latgale – by 5.6 % (300 euros monthly), in Vidzeme – by 6.7 % (366 euros monthly).

In 2016, the share of income from labour amounted to 71.2 % of the total disposable income (70.4 % in 2015), while the share of social transfers amounted to 24.7 % (24.3 % in 2015).  

However, the figures also suggest the already gaping gap between rich and poor is getting even wider. In 2016, compared to 2015, the lowest increase in income was observed in the poorest households (by 2.8 %). The income of the richest households increased by 5.1 % over the year.

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Economy