Romanians Start Saving Due To Price Hikes

Romanians started saving in 2022 due to the increase in prices, according to the study “Money Matters” carried out by Erste Group.

In the context of the accelerated increase in inflation, Romanians adopted a more strict financial behaviour. According to the study, 77% of individuals surveyed chose to save money for tough times, an increased percentage over the previous year. 64% of Romanians claim to have been impacted by inflation, and 38%, double that of 2019, believe that their financial condition has worsened recently.

The willingness to invest in education and professional training has seen the most significant improvement among the reasons Romanians save money, with 25% reporting this shift in mindset, which is 9% more than in 2021.

The study’s findings also showed that Romanians save an average of EUR 70, EUR 9 more than they did in 2021. Only 33% of people save money for retirement.

In addition, 48% of respondents turn to their relatives and friends for guidance on saving and investing, and 19% even consider social media. Most respondents (about 61%) feel that financial education is the responsibility of schools and other educational institutions, followed by parents and families (about 56%) and banks and other financial institutions (about 45%).

In addition to this survey, we report below the tips of the specialists to save smartly. Here are some tips to save:

• The 50/30/20 rule – the main rule for the correct division of the budget: 50% for usual expenses, 30% for wishes and 20% for savings and investments;
• Save first, spend after what’s left;
• 24H – postpone the purchase of something for at least 24 hours to make sure you need it;
• Make your emergency fund – make a reserve fund, where between 3-6 monthly salaries must be collected;
  Consider the cost given by small, repetitive expenses: a coffee, a pack of cigarettes, a taxi or Uber ride, an electric scooter;
• Protect yourself from inflation and optimize your expenses;

The Romanian’s financial behaviour to save money can be seen in the fact that Romania’s store sales increased by only 2.5% this year. In addition to savings, Romanians also reduced energy waste to cope with energy prices this winter.

In other words, 2022 is the year of savings, not just for Romania’s people. This strategy of coping with present difficulties can be read throughout Europe.