Greek households’ income up 5% in the second quarter 2019

Greek households’ income up 5% in the second quarter 2019

Households in Greece moved in particularly positive territory in the second quarter of 2019, as a result of the country’s exit from the memorandums and the positive measures taken by the previous SYRIZA government.

As a result, the Greek Statistical Authority saw an increase in disposable income and consumer spending in the second quarter, with net savings going to a positive sign.

In particular, in the second quarter of 2019, disposable income of the households and nonprofit institutions serving households (NPIEN) increased by 5.0% compared to the same quarter of the previous year, from EUR 30.9 billion to EUR 32.5 billion.

Consumption

According to date from ELSTAT, in the same period, the final consumption expenditure of households and non-profit institutions serving households increased by 1.0% compared to the same quarter last year, from EUR 32.1 billion to EUR 32.4 billion.

Saving

Household and NPIEN saving rates, defined as gross savings to gross disposable income, were 0.2% in the second quarter of 2019, compared to -3.7% in the second quarter of 2018. It is noted that savings have been on positive ground for the first time since 2015!

Investments

In the second quarter of 2019, non-financial corporations’ gross fixed capital formation amounted to EUR 2.9 billion.

The proportion of sector investments defined as gross fixed capital formation to gross value added was 19.0%, compared to 15.2% in the second quarter of 2018.

The general government sector in the second quarter of 2019 recorded a net debt of € 0.3 billion, compared to the second quarter of 2018 when net debt was € 0.1 billion./IBNA