PRESS RELEASE. No. 163 of July 7, 2014 Household income and expenditure in Quarter I 2014 Family Budget Survey (ABF)

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1 ROMANIA THE NATIONAL INSTITUTE OF STATISTICS Press Office 16, Libertăţii Avenue, Sector 5, Bucharest Tel/Fax: ; Fax PRESS RELEASE No. 163 of July 7, 2014 Household and in Quarter I 2014 Family Budget Survey (ABF) For the accurate interpretation of indicators, kindly see the Methodological Note on page 5 of the press release In Quarter I 2014, the total monthly average of the population, per household, was of 2477 lei; the average money represented 82.1%. The total monthly average per household was of 2226 lei; the average consumption represented 72.6%. HOUSEHOLD INCOME According to the results of the Family Budget Survey, in the first quarter of 2014, the total monthly average was, in nominal terms, of 2477 lei per household and of 928 lei per person. The money was of 2034 lei monthly on average per household (762 lei per person) and the in kind of 443 lei monthly per household (166 lei per person). The structure of the household, on formation sources, in Quarter I 2014 Property and household asset sale 1.4% In-kind 17.9% Other 2.3% Salary 49.4% Social provisions 24.1% Independent activities 2.5% Agriculture 2.4% The wages and the other related constituted the most important source of (49.4% of the total household ).

2 The following also contributed to the formation of the household total : social provisions (24.1%), agriculture (2.4%), non-agricultural independent activities (2.5%) and property and household asset sale (1.4%). An important weight also holds the in-kind (17.9%), mainly the equivalent consumption value of the agro-food products from own resources (16.2%). Differences of level and especially of structure between household s were registered based on the residential area. Thus, in Quarter I 2014, the total average per household from urban area was 29.3% greater than of households from rural and 11.1% greater than of the entire households. In the urban area, household came 61.5% from wages, 23.4% from social provisions, the in-kind being 8.4% of the total. In the rural area, the main source was the agricultural production that provided 37.7% of the total. The most part of it (32.2% of the total ) was represented by the equivalent value of the consumption of agro-food products from own resources, the money from agriculture providing 5.5% of the rural household. An important contribution to the rural household had also the salary (29.4%) and the social provisions (25.4%). HOUSEHOLD EXPENDITURE In Quarter I 2014, the total of the population was roughly of 2226 lei per month per household (834 lei per person) and was 89.9% of the total. The main uses of the done by the households are the consumption of food and nonfood goods, of services and the taxes, contributions and subscriptions paid to private and public administration and to the social insurance budgets, as well as the cover of some needs related to the household production (poultry and animal feed, work payment for the household production, seeds, veterinary services, etc.). The with investments, intended for purchasing or raising dwellings, purchasing land and equipment required by the household production and purchasing shares, etc. represent a very small weight in the total household (only 0.2%). The structure of the total household in Quarter I 2014 Taxes, contributions, dues, fees 16.7% Other 2.5% Production 8.0% Investment 0.2% Consumption 72.6% Some characteristics as to the size and the structure of the total consumption are determined by the residential area. Consequently, while the monthly average consumption is 487 lei greater with urban households than with rural ones, the food consumption is only 19 lei. This is a result of the fact that in rural area 49.2% of the food THE NATIONAL INSTITUTE OF STATISTICS 2

3 consumption represents the equivalent value of the consumption from own resources. For the urban households, the food consumption from own resources covered 22.7% the food consumption. According to the standard classification of the consumption by use (COICOP), food and soft drinks roughly held 40.5% of the household consumption in Quarter I The structure of the total consumption, by uses, in Quarter I 2014 Miscellaneous products and services 3.8% Agro-food products and non-alcoholic beverages 40.5% Alcoholic beverages and tobacco 7.5% Clothing and footw ear 4.2% Hotels, cafes and restaurants 1.6% Education 0.7% Recreation and culture 3.6% Communications Transport 4.7% 5.7% Health 4.8% Dw elling, w ater, electricity, gas and other fuels 19.3% Furnishings, dw elling equipment and maintenance 3.6% A consumption component, with a relatively high weight as to the, is related to the dwelling (water, thermal energy, electricity, gas, fuel, furniture and the endowment and keeping of the dwelling). In Quarter I 2014, it represented 22.9% of the consumption. The most part of the with the dwelling was represented by heating and utilities consumption (19.3%). On the opposite were the household with hotels, cafes and restaurants (1.6%) and those with the education (0.7%). THE NATIONAL INSTITUTE OF STATISTICS 3

4 LEVEL AND STRUCTURE OF TOTAL INCOME IN QUARTER I 2014 Total Monthly average per person - lei - Money Gross salaries and other salary rights Agricultural Income from independent nonagricultural activities % of total: Income from social provisions In-kind Equivalent value of in kind obtained by employees and recipients of social provisions Equivalent value of consumption of agro-food products from own resources TOTAL Occupational status of household head: Employee Farmer Unemployed Pensioner URBAN RURAL LEVEL AND STRUCTURE OF TOTAL EXPENDITURE IN QUARTER I 2014 Total Monthly average per person - lei - Money Consumption % of total: of which, money for: of which, for: Consumed food and beverages Purchase of non-food goods Payment of service Taxes, contributions, dues, fees Equivalent value of consumption of agro-food products from own resources TOTAL Occupational status of household head: Employee Farmer Unemployed Pensioner URBAN RURAL THE NATIONAL INSTITUTE OF STATISTICS 4

5 METHODOLOGICAL NOTE Total includes: -Money ; -Income in kind (evaluated in lei). -Money all the money cash coming from various origin sources for which there is no obligation to be returned (except the amounts withdrawn from the CEC Bank, other banks and similar institutions, loans and credits received). Salary and other salary rights all the money and in kind (evaluated in lei at selling price of the unit) as salary, increases and indemnities as percentage or in fixed amounts for special work conditions (stipulated by the law or by individual or collective labour contracts), both for time effectively worked in normal work program or overtime, and for paid time not worked, premiums and benefit from net profit, other assimilated to salary, effectively cashed in the reference month, no matter which period, as well as money withheld (taxes, contributions, instalment for goods and loans etc.). Agriculture all the money cash from agricultural companies and associations, from sales of agro-food products, animals and poultry (pets) and from provision of agricultural works. Independent non-agricultural activities all the money cash from facts about trade, provisions of services, practice of trade, from liberal professions and intellectual property rights. Social provisions all the money cash from provisions of social protection, namely: pension, other assimilated to pensions; indemnities for sick and maternity leaves; provisions from unemployment fund; family provisions; social assistance provisions and other provisions. Property all the money cash from concession of use of goods, as a result of holding titles of participation in investment close/open funds, of deposits in the CEC Bank, other banks and similar institutions (leases, rents, dividends, interests). Income from sale of assets from household patrimony all the money cash from transfer of property rights over stocks and shares and social parts, from sale of foreign currency, lands, houses and other new and old goods which are not from own production. -Income in kind (evaluated in lei) includes: equivalent value of human and fodder consumption of agro-food and non-food products coming from own resources of the household (from production, stocks, work, gift etc.). Evaluation in lei is done at average purchasing prices of products in the reference month by statistical regions. equivalent value of in kind obtained by employees and beneficiaries of social provisions (evaluated at selling price of the day). THE NATIONAL INSTITUTE OF STATISTICS 5

6 Total includes: -Money ; -Equivalent value of human and fodder consumption of agro-food products from own resources of household. -Money all the money, no matter of destination (including equivalent value of in kind obtained by employees and beneficiaries of social provisions, excluding amounts deposited at the CEC Bank, other banks and similar institutions, loans and credits returned) to: purchase food products (consumed or unconsumed in the reference period), non-food goods and payment of services; investments; production; payment of taxes, contributions, dues, fees; other money. - Equivalent value of human and fodder consumption of food and non-food goods from own resources of households value expression of human and fodder consumption of food products and some non-food products coming from own resources of household (agricultural production, previous period stocks, products processed in the household, products received as gift or for work etc.). Total consumption all the of population for current consumption needs (food products, non-food goods, services) and entered the consumption, equivalent value of human consumption of agro-food products from own resources of household. Total for food consumption all the money and in kind to cover the food needs of a household or person, in a certain period of time. Total for non-food goods all the money and in kind to cover the nonfood needs of a household or person, in a certain period of time. Expenditure for payment of services all the money of a household or person for the payment of services, in a certain period of time. Expenditure for unconsumed food and beverages all the to purchase food products which were not consumed in the reference month, remaining in the stock or being meant for other purposes (processing, animal and poultry food, gift, losses). Taxes, contributions, dues, fees all the money for compulsory payments to fiscal system (taxes, contributions, dues, fees). For more information (household and by household categories and regions, food consumption level and structure), see the statistical publication The population and in Quarter I 2014, date of issue August 4, The next press release will be issued in October THE NATIONAL INSTITUTE OF STATISTICS 6

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