The total monthly average income was, in nominal terms, RON 6,979 (EUR 1,400) per household in Q1 2023, an increase of 12.1% y/y, out of which RON 4,526 was income from salaries and other salary rights (+8.3% y/y) and income from social benefits was RON1,483 (+14.2% y/y), according to the statistics office INS.

The average inflation for the period was just over 15% y/y. Total expenditure was RON 5,971 (some EUR 1,200) per household, an increase of 12.2% y/y, out of which RON 3,702 (+13.3% y/y) was consumption expenditure and RON 1,888 (+7.2% y/y) was taxes, contributions and other similar.

The expenditure for food and non-alcoholic beverages (RON 1,301 per household) increased by 20.1% y/y and reached 35.1% of consumption expenditure, up from 33.1% in Q1, 2022. As they had to pay higher prices for food (+22% y/y on average), this means a smaller consumption of food in volume terms in Q1.

The expenditure on dwelling and utilities (RON 682 in Q1) increased by only 9.5% y/y as a result of lower energy consumption and regulated prices.

The households voluntarily decided to spend a lower share of their budget on clothing and footwear: RON 230 in Q1 (+6.5% y/y) or 6.2% of total consumption expenditure, down from 6.6% in the same period last year.

(Photo: Megaflopp/ Dreamstime)

iulian@romania-insider.com