Articles

23.11.2010 Purchasing power rises in Europe

Purchasing power levels are rising in Europe, despite the challenging conditions currently observable in many countries across the region. Research firm GFK reported that shoppers from 42 markets boasted a combined €7.9bn with which to buy consumer goods in 2010. This constituted a 2.1% improvement on 2009, and equated to €11,945 per person covering all the nations featured in the analysis. While arguing such an increase could represent the "beginning of a recovery" from the financial crisis, the company also suggested affluent economies were struggling for growth. "There are … no major shifts in the purchasing power levels of the wealthier countries evaluated by the study, with the exception of Sweden," it said.

Germany, France and Italy retained the top three places in the annual rankings, according to GfK's estimates. The Baltic states suffered particularly heavily during the downturn, and Estonia was the leading player in this area, albeit with a median amount of just €4,938. Staying in Eastern Europe, Slovenia overtook Portugal and registered an individual budget of €10,045, making it the most successful of the recent additions to the European Union. Among the markets witnessing favourable trends was Finland, posting a 3.2% uptick to €17,500, a figure that considerably greater in Helsinki and its environs. Turkey also strengthened its position in the recession, to €5,107, but 28% of domestic disposable income is concentrated around Istanbul, which has a purchasing power density 14 times higher than Ankara.

B.L. 23.11.2010