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Household Finance and Consumption Survey 2021: Results from Slovakia

Author

Listed:
  • Andrej Cupak

    (National Bank of Slovakia)

  • Judita JuraÅ¡eková Kucserová

    (National Bank of Slovakia)

  • Ján Klacso

    (National Bank of Slovakia)

  • Anna Strachotová

    (National Bank of Slovakia)

Abstract

This report presents the main findings from the fourth wave of the Household Finance and Consumption Survey (HFCS) conducted in Slovakia in 2021. The survey provides a structural overview of information about household assets, liabilities, income and consumption, extended by indicators regarding financial literacy, labour market effects of the pandemic, and measures of household expectations. We find that median household net wealth stood at more than €97,000 in 2021, up from €70,000 in the previous survey wave in 2017. This rapid appreciation was mainly due to a remarkable increase in real estate prices over the considered period. Household assets remain substantially concentrated towards real estate, which account for nearly 80% of all household assets. Households continue to be conservative also in terms of financial assets, holding mainly risk-free deposits or low-yield savings accounts. Only 6% of households hold investment-based financial assets such as shares, bonds, or mutual funds. Relatively poor inclusion in financial markets is coupled with low levels of financial literacy of the Slovak population; however, we observe a slight improvement since 2014. While the level of household indebtedness increased substantially between 2017 and 2021, there was some moderation in debt burden indicators (such as LTV and DSTI ratios) mainly due to tighter borrowerbased measures. Given the steep rise in value of owner-occupied housing and growth in labour income, both wealth and income inequality declined and hence ensured more equal distribution of economic resources across society.

Suggested Citation

  • Andrej Cupak & Judita JuraÅ¡eková Kucserová & Ján Klacso & Anna Strachotová, 2023. "Household Finance and Consumption Survey 2021: Results from Slovakia," Working and Discussion Papers OP 2/2023, Research Department, National Bank of Slovakia.
    • Handle: RePEc:svk:wpaper:1095
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    References listed on IDEAS

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    1. František Murgaš & Karel Macků & František Petrovič, 2025. "Does the Self-Reported Classification on the Income Scale at the Regional Level Correlate with Quality of Life?," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 177(3), pages 959-982, April.
    2. Martin Cesnak & Jan Klacso & Patrik Kupkovic & Andrej Moravcik & Stefan Rychtarik & Roman Vrbovsky, 2024. "Assessing Residential Real Estate prices in Slovakia: Possible Approaches and Indices," Working and Discussion Papers OP 1/2024, Research Department, National Bank of Slovakia.

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