The individual financial situation of Hungarians has improved in 2021, Provident Pénzügyi Zrt. announced on Tuesday, according to a survey commissioned by its parent company, International Personal Finance (IPF).
The research examined the subjective financial situation of citizens in the nine countries where IPF is operating. In addition to Hungary, the survey included the Czech Republic, Poland, Latvia, Estonia, Lithuania, Romania, Australia, and Mexico.
According to the survey, 78 percent of Hungarians were able to save some amount in 2021, compared to 67 percent the previous year, while 21 percent said their financial situation did not allow them to do so, compared to 27 percent in 2020.
In the first year of the Covid-19 pandemic, only 10 percent of respondents said they could save a large or substantial amount of money on a monthly basis, but this figure jumped to 17 percent in 2021.
Typically, among Hungarian respondents aged 55 and over, the lowest proportion of those who were able to save a significant or substantial amount of money was 7 percent, while one in four young people aged 18-34 were able to do so. 30 percent of respondents aged 55 and over said they could not save a penny at the end of the month,” the company revealed.
The survey found that 40 percent of Hungarian respondents would be able to afford to finance themselves for at least six months if they suddenly lost their source of income or job, but 23 percent have no financial reserves at all, compared with 19 percent in 2020.
Attila Horváth, Regional CFO at IPF, stressed in the statement that the improvement in the financial situation of older age groups in Hungary is far behind that of young and middle-aged people, as indicated by the significant differences in their savings capacity.
Among the European countries surveyed, the Czechs and Estonians are the best off in terms of their self-reported financial situation, with every second person in the former and every third in the latter having been able to save a significant or substantial amount, according to the statement.
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