Increased cost of living and the economy’s evolution, the Romanians’ main concerns in 2017

A possible higher cost of living and the economy’s evolution in the coming period are the main concerns of the Romanians. Almost 30% of the Romanian respondents to a survey conducted by British research company Gfk UK said they are concerned about the prospect of rising living costs in the next year, while 15% are worried that they might lose their jobs. Moreover, 21% of them are concerned about the evolution of the economy in the next period. The study was conducted at the initiative of British group International Personal Finance, present on the local market through its subsidiary Provident Financial Romania, on a sample of some 4,000 customers in four European countries, and Mexico. A total of 29% of Romanian respondents said that the increased cost of living is mainly the result of higher utility costs, 15% said that this is due to housing costs, and 12% said that the food expenditure affects the living costs. By comparison, for respondents in Europe, the main reason for the increase in the cost of living is represented by rent or a house purchase (19%) and food expenditure (19%). The study also shows that 94% of Romanian clients think carefully before taking a loan, and 92% don’t borrow more than they know they can repay. Romanians have a responsible credit behavior, according to the GfK UK study. Most respondents in Romania said they take into account loans from banks or non-bank financial institutions mainly when they want to make improvements in their houses (31%), in case of unexpected expenses that may affect their financial situation (29%) or medical expenses (18%), when they want to consolidate their debts (23%), and when they want to invest in the children's education (5%). However, 60% of the Romanian respondents said they are satisfied with their current standard of living, 8 percentage points more than in 2016 and above the European average of 53%. Moreover, 66% are confident that their personal financial situation will improve over the next 12 months, similar to last year's level (67%), but above the European average of 45%. GfK: Personal safety, not among Romanians’ biggest concerns Irina Marica, irina.marica@romania-insider.com