AGERPRES News

Romania lagging behind in EU, with average financial wealth per capita of 5,823 euros

Romania’s average financial wealth per capita amounts to 5,823 euros, while the European average is 65,209 euros, general director of OTP Asset Management Romania Dan Popovici on Tuesday told the event “The investment funds market in 2024 – expectations and challenges” organized by the Fund Administrators Association.

“Romania’s current average wealth per capita stands at 5,823 euros, compared to the EU average wealth of 65,209 euros. From this point of view, there’s obviously a very large discrepancy between the accumulated wealth across Europe and the wealth accumulated in Romania. From my point of view, this discrepancy is much higher than the one separating, for instance, the current salaries in Romania and those paid in other countries,” Popovici said, noting that the data comes from the European Financial Management Association (EFMA) and refers to the year 2022.

He explained that, in addition to financial wealth, which refers to bank deposits, investment funds, pension funds, capitalized life insurance and investment funds, there is also real estate wealth, consisting of investments in property.

According to the cited source, the average financial wealth in Bulgaria is 7,778 euros, in Hungary – 12,058 euros, and in Poland – 11,249 euros. In the UK, the average wealth per capita is 112,318 euros, and in Germany – 83,903 euros.

Popovici said that since 2015, the value of capital market instruments compared to the value of bank deposits has been on an upward trend, with pension funds making the biggest contribution thereto.

According to the presented figures, bank deposits account on average for 68 percent of the Romanians’ financial wealth. Pension funds are an important component, with a share of 18.5 percent.

In Romania, investment funds represent only 3.73 percent of the total average wealth per capita, while the European average is 10 percent.