Romanian households’ monetary incomes shrink by real 5.3% y/y in Q3

Despite the robust rise of wages (+15% y/y), the total monthly per-capita incomes of Romanian households increased by only 4.1% y/y (to RON 2,770 or EUR 588) in Q3, lagging significantly below the 9.2% y/y average inflation in the third quarter of 2023. Their per-capita real incomes thus contracted by 4.7% y/y.

Their monetary incomes (as opposed to in-kind incomes and auto consumption) contracted even more – by 5.3% y/y (despite the +3.4% y/y nominal advance) to RON 2,576 (EUR 519).

The households having an employee as the senior member, however, fared visibly better: their per-capita monthly incomes rose by 12.5% y/y (+12.8% y/y for their monetary incomes) to RON 3,680 (EUR 742) – 33% above average, compared to a 22% spread in the same period of 2022.

The income discrepancy between the urban and rural regions widened as well, with the households living in the rural area enjoying 47% higher per-capita incomes compared to those in the rural area – a significant spread explained by fewer workplaces (employees) in the rural area.

(Photo source: Vlad Ispas/Dreamstime.com)