bnn.lv Latviski   bnn-news.com English   bnn-news.ru По-русски
Tuesday 24.10.2017 | Name days: Renāte, Modrīte, Mudrīte
LatviaLatvia

Economic Diary of Latvia. How much does one student cost?

FaceBook
Twitter
Draugiem
print
(No Ratings Yet)

Baltic news, News from Latvia, BNN.LV, BNN-NEWS.COM, BNN-NEWS.RU1 September is close. Preparing a child for the first day in school is a full-scale economic process, which includes planning time and finances, setting objectives, finding suppliers, comparing prices and making purchases. All of it is serious. With that, social and commercial organizations have started calculating the costs of sending a child to school.

The Parents for Education association has calculated that preparing a single child for school costs an average of EUR 40. This price includes text books, writing utensils and other items necessary for school. In general, costs vary depending on the education institution. If parents also have to procure school uniform, backpack and footwear, costs can reach upward to several hundred euros.

Preparing children for first grade costs the most to parents, notes the association. This is because older children can still use items left from the previous year in their next school year, so there is no need to buy new items.

According to Swedbank’s Private Finances Institute, parents will need to spend at least EUR 90 to prepare their children for school this year. Depending on certain schools, the price of school accessories may cost EUR 35 and more. Other no less important part of school expenses – sport gear – will cost no less than EUR 45. A backpack will likely cost the least amount of money – EUR 10. Parental experience, however, shows that an expensive backpack (around EUR 60) can serve several years and is therefore a more valuable investment altogether.

A survey carried out by Maxima Latvija shows that 47% of parents in Latvia plan to spend EUR 71 or more to send their children to school. 14% plan to spend up to EUR 25 and 24% of respondents plan to spend around EUR 26 – EUR 55. 15% plan to spend around EUR 56 – EUR 70.

Many parents come up with creative solutions to this matter. Some start planning these expenses in advance. Mothers, who are generally practical in planning finances, prefer to buy only the most necessary items that will serve a long time (a good backpack and high-quality writing utensils). Many save money on clothes, often buying from internet shops and second-hand shops. Children grow up quickly: brand jeans can become too small to wear after a few months.

In spite of the rush related to preparing a child for school, most families consider 1 September a holiday and plan to celebrate it. 51% of respondents will celebrate 1 September with a family dinner at home, 29% will celebrate it outside their home, 6% will attend some cultural event and 2% will go on excursions.

The market is neither alive nor dead

Latvian Real Estate Association published a big report on the state of the country’s real estate market in regions. According to the association, this sector is largely stable – prices neither grow nor fall. However, there are signs of stagnation.

In segments like private housing, apartments and commercial premises, deals are purely rational. Buyers do not acquire anything spontaneously; they carefully compare prices, location and quality. With that, there has been a notable increase in the number of deals with agricultural land. This segment has seen deficit of large areas, which can potentially increase prices by up to 30%.

In general, the real estate market is mostly ruled by local buyers who carefully count their money. With that, this industry is neither alive nor dead. Vidzeme stands out in this. This region is noteworthy with the largest level of economic activity: plenty of jobs and good development conditions. The market is more active there, but it is focused mainly in three cities – Valmiera, Smiltene and Cesis.

In Latgale, deals are mostly carried out with agricultural land.

Interesting events are noted in Kurzeme – banks have almost cleared out their portfolios, having sold objects they had collected during crisis years. With that, they are gradually leaving Kurzeme’s real estate market. Because of that, projects that had been previously frozen are now coming back to life in Liepaja, now that they have changed hands and have been completed by their new owners. There is a lot of interest for these apartments, which is largely because of attractive prices.

In general, the real estate market is a mirror of a country’s economy: if nothing changes, the market remains where it is.

With hopes in the future

The fact that Latvia’s economy is not experiencing anything drastic at the moment is also shown by results of the latest Citadele Index. The value of the index, which reflects the mood of entrepreneurs, was 48.15 points in Q2 2015.

Values that do not exceed 50 points show that entrepreneurs are not satisfied with the state of things in the country and their company. The latest index shows that entrepreneurs believe the state of things has worsened in Latvia in the past six months. The index has stayed on the same level these past four quarters – within 48-49 points. This means entrepreneurs are mostly pessimistic, as explained in Citadele.

Ref: 017.109.109.5923


Leave a reply

Pabriks: losing control over airBaltic would be a mistake for Latvia

«If attraction of an investor for Latvian’s national airline airBaltic results in full privatization of the company, Latvian state would make a strategic mistake,» says MEP Artis Pabriks.

Another person may be involved in NSL and ZZS illegal financing case

Corruption Prevention and Combating Bureau’s launched criminal process regarding possible illegal financing of parties To Latvia from the Heart and Union of Greens and Farmers has identified another involved person.

Mortality from strokes in Latvia may grow significantly in the near future

To raise awareness of the dramatic situation with strokes in Latvia and motivate decision-makers into improving stroke prevention measures and treatment and increasing funding for this area, cardiologists and neurologists invite officials to come to a discussion.

Pavļuts: party unions would be welcome, but not for politically technical reasons

In preparation for Saeima elections, unions should be considered by parties that have similar goals, not politically technical considerations, said Kustība Par leader Daniels Pavļuts in an interview to Rīta panorama programme.

Minister: changes in Russian schools needed for formation of unified political nation

Latvia requires a unified political nation, which is impossible to achieve living in different education spaces. With that, it is only natural for the process to progress towards our youth studying together, Latvian Education Minister Kārlis Šadurskis told Rīta panorama programme about the intended education reforms in Russian-speaking schools.

Czech election won by party of police-sought billionaire Babiš

In the parliamentary election of the Czech Republic, which took place over the weekend, centrist party ANO has won. It is chaired by billionaire Andrej Babiš, who has been stripped of the immunity of a member of parliament over suspected wrongdoing in attracting European Union farming subsidies.

Rīgas satiksme limits competition; agreements prevent ‘others’ from entering the market

Competition Council believes Rīgas satiksme’s contracts with private companies limit competition, because they prevent other players from entering the market, as reported by De Facto programme of LTV.

Weather will be clear and dry in Latvia at first; set to change in second half of the week

On Monday and Tuesday weather will be dictated by increased atmospheric pressure – weather will remain clear and dry. Wind will draw in from the east and south-east, which will be strong along the coast in Kurzeme, as reported by Environment, Geology and Meteorology Centre.

Spain denies effort to strip Catalonia of autonomy amount to coup

The Foreign Minister of Spain, Alfonso Dastis, has dismissed claims that the effort of the central government to introduce direct rule in the separatist region of Catalonia can be considered as a coup d'état as it is seen in Barcelona.

TM: the ministry is open for a full disposal of state-owned airBaltic shares

Latvian Transport Ministry is currently engaged in reviewing specific offers for attraction of investors for airBaltic. A full privatization of the company is not out of the question, says the ministry’s state secretary Kaspars Ozoliņš.

Week in Lithuania. Election watchdog’s decision puts budget grants for Liberals in question

A total of 45,336 euros in the costs of the training organised by an Institute of Applied Politics owned by Sarunas Gustainis, a former MP and former member of the Liberal Movement, for the party should be recognised as non-monetary contribution, says a task force established by the Lithuanian Central Electoral Commission.

BNN summary of the week: birth and death rates in Latvia turn out shocking. Gambling halls to close down

BNN offers a summary of this week’s topical news in a variety of categories: Fight; Truth; Business; Future.

Professor: by taking money away from science, the state shoots itself in the foot

The matter regarding insufficient funding for science has recently become more topical in the public space. President of Latvian Academy of Sciences Ojārs Spārītis is rather critical of the situation: Latvia has lied to the European Union and European Commission about making sure that funding for science reaches 1.5% of GDP by 2020.

To prevent fraud, audit of MPC recipients to be performed in Latvia

Latvian Economy Ministry intends to perform an audit of mandatory procurement component recipients and use new regulations to combat fraudulent activities, as confirmed by Economy Minister Arvils Ašeradens.

Rail Baltic procurements to be processed using Electronic Procurements System

Following the changes to Latvian Republic’s Public Procurements Law, all new procurements for Rail Baltica administered by RB RAIL will be processed using a free electronic information system and its e-contest subsystem.

Estonian construction price index pushed up by wages

The construction price index in Estonia has in July-September of 2017 increased by 0.9% in comparison to second quarter this year and by 1.7% from July-September of 2016, Estonian statisticians have estimated.

Surplus of Latvia’s government budget reached 9.5 million euros in 2016

In 2016 general government budget surplus accounted for EUR 9.5 million or 0.04 % of the Gross Domestic Product, whereas general government consolidated gross debt amounted to EUR 10 091.6 million or 40.6 % of the GDP.

Latvia to invest EUR 5.9 million into formation of unified port network

Ports of Riga planning region and Kurzeme planning region have commenced an important tourism project. The goal of this project is creating a unified yacht port network in Latvia and Estonia with quality services that would allow developing sailing tourism and attract foreign sailing enthusiasts in the future, reports the regions’ representative Inese Ozoliņa.

Graft-suspected Tartu deputy mayors resign

In Estonia's second largest city, Tartu, Deputy Mayors Artjom Suvorov and Valvo Semilarski have stepped down from office, Estonian press reported, after the politicians were arrested under suspicion of graft.

Expert: workers of Latvia’s NGO sector have high ‘burnout’ risk

Workers of Latvia’s NGO sector have a high burnout risk, said once the director of Providus Dace Akule in an interview to Latvijas Radio.

Producer: many young people come to work in the film industry

Latvia’s film industry has been steadily growing these past several years, and it is especially gratifying that many young people are coming to work in the industry, says director and producer, representative of Film Angels Productions Jānis Kalējs.

Pollution blamed for every sixth premature death globally

Nine million premature deaths globally in 2015 are said to be related to pollution, a study has found pointing to presence of harmful matter in air, water and workplace as the three main risk factors.

Infectologist: influenza kills biologically the weakest, including children and pregnant women

Influenza is an infection that affects both children and adults. However, it kills those who are biologically weak, says Immunization State Council chairperson and infectologist of Children’s Vaccination Centre Dace Zavadska.

Investor activity made easier between Latvia and Vietnam

An intergovernmental agreement has been signed between the Republic of Latvia and Socialist Republic of Vietnam on prevention of double taxation and tax avoidance in relation to income tax.

Colder masses of air to enter Latvia in coming days; precipitation to be limited

Although high atmospheric pressure will be present above Latvia in the coming days, southern regions in Latvia will experience short-term precipitation on Saturday, 12 October, caused by the cyclone active above Poland. Colder masses of air will enter Latvia in the coming days.