„The past year reminded many that financial security starts not only with income but also with preparation for unexpected situations. Prolonged economic shocks have prompted people to pay more attention to their ability to financially rely on themselves and be less dependent on external help,“ says Jūratė Cvilikienė, head of the Swedbank Finance Institute.
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According to the research data, 60% of people feel they can financially take care of themselves. Another 27% say they can do so only partially, and 6% admit that they would not manage financially without the help of others.
For the first time measuring the Financial Health Index in 2023, 54% of people were confident in their financial independence, while 40% said they were at least partially financially dependent on others.
Independence – a new form of financial security
According to J. Cvilikienė, this trend reflects a broader societal change that could be called a kind of “independence economy” – a growing need for people to have more control over their financial lives.
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“Previously, financial stability was more often associated with external security – the state, employer, or family support. Today, more and more people associate security primarily with their own financial preparedness – accumulated reserves, more stable income, smaller financial obligations,” comments the head of the Swedbank Finance Institute.
According to her, financial independence does not mean that a person has to make all decisions alone. Rather, it means greater resilience in unexpected situations, strengthened not only by income growth but also by consistent financial preparation.
“People pay more attention to reserves, saving, investing, and managing financial obligations. Financial security is increasingly perceived as an active action, not a given state,” notes J. Cvilikienė.
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