Alternative forms

Austrians are saving more again this year

Wifo assumes that Austrians will save a higher proportion of their income this year.

(Bild: Evelyn Hronek)

In Austria, savings products are still the number one investment. Nevertheless, new investment products such as shares and funds are on the rise. According to a study by Bank Austria, the amount that Austrians are able to put aside each month has increased.

On the occasion of World Savings Day on October 31, many banks are reporting high demand for savings products. Alternative forms of investment such as shares, funds, exchange-traded index funds (ETFs) and crypto-assets are becoming increasingly popular. In the second quarter of 2024, the proportion of income that is saved rather than spent on consumption rose to 10.6%. This year, the Wifo (Austrian Institute of Economic Research) expects this figure to rise to 11.4%.

The savings rate has been high in recent years, especially during the coronavirus pandemic, as many consumption opportunities, such as in the restaurant and hotel industry, were lacking. Even today, there is still talk of "fear savings" in the industry. Oberbank employees have observed that many customers are currently opting for investments with fixed interest rates.

Although saving is very important to the population, every third person in Austria leaves their "nest egg" in their current account without earning interest. This has now been revealed by a survey conducted by the rate comparison portal durchblicker.at.

Bringing finances closer together
The aim of World Savings Day is to teach people how to deal with finances and motivate them to save. The day was first celebrated 99 years ago on October 30, 1925, but the initiative only really took off in the 1950s after people and the economy had recovered somewhat from the Second World War. At that time, numerous savings associations were founded and school and youth savings were introduced.

A "happy savings day"

(Bild: Wikipedia/Erste Bank)

Today, most banks celebrate the day with much less effort and offer their campaigns over several days. Every year, children in particular are given small gifts such as soft toys, pens and games. Old promotional gifts and the development of the "Sparefroh" mascot can be seen in the Sparefroh House in the Alsergrund District Museum in Vienna.