25-04-2025

Poverty indicators for 2024 have been presented

on 24 April, the national at-risk-of-poverty rate statistics were presented at the State Data Agency (Statistics Lithuania). The indicators were presented by Inga Daunaravičienė, Head of the Living Standard and Employment Statistics Division of the State Data Agency, and the data were commented on by Dr Jekaterina Navickė, Adviser to the Minister of Social Security and Labour of the Republic of Lithuania.

In 2024, the at-risk-of-poverty rate in the country made up 21.5 per centand, against 2023, increased by 0.9 percentage point. In 2024, about 620 thousand residents of the country lived below the at-risk-of-poverty threshold.

Compared to 2023, due to an increase in the disposable income of the population, the at-risk-of-poverty threshold grew by 9.2 per cent, and was equal to EUR 616 per month for a single person, and EUR 1,294 – for a family consisting of two adults and two children under 14.

In urban areas, the proportion of persons with equivalised disposable income below the at-risk-of-poverty threshold stood at 18 per cent (in five major cities – 14.5 per cent, in other towns – 24 per cent), in rural areas – 29.4 per cent.

 

People aged 65 and over are the most affected by poverty

The highest at-risk-of-poverty rate was among persons aged 65 and older. In 2024, it accounted for 36.9 per cent and, against 2023, increased by 0.8 percentage point. During the income survey period (in 2023), the average old-age pension amounted to EUR 539.1 and accounted for 87.5 per cent of the at-risk-of-poverty threshold. The average old-age pension has been below than the at-risk-of-poverty threshold since 2014, this gap has been narrowing for the last three years.

In 2024, compared to the previous year, the at-risk-of-poverty rate for children under the age of 18 increased by 2 percentage points (accounted for 19 per cent), for persons aged 18–64 – increased by 0.7 percentage point (17.3 per cent.).

In 2024, the at-risk-of-poverty rate for households with children accounted for 16.9 per cent and, against 2023, increased by 1.2 percentage points. Over the year, in households without children, the at-risk-of-poverty rate increased by 0.5 percentage point and, in 2024, accounted for 25.3 per cent.

8.3 per cent of employed persons, 59.5 per cent of the unemployed, and 39.9 per cent of old-age pensioners were living below the at-risk-of-poverty threshold. Compared to 2023, the at-risk-of-poverty rate for employed persons increased by 0.4, that for the unemployed – remained the same, that for old-age pensioners – increased by 0.7 percentage point.

Against the previous year, the impact of social transfers on the at-risk-of-poverty rate dropped from 8.8 to 7.5 percentage points. Social transfers had the greatest impact on the at-risk-of-poverty rate for one adult with children: in 2024, after the deduction of social transfers, the at-risk-of-poverty rate for these households would increase from 31.6 to 49.1 per cent.

 

In 2024, 5.8 per cent of Lithuanian population lived below the absolute poverty threshold

In 2024, the absolute poverty threshold was EUR 446 per month for a single resident, and EUR 937 – for a family consisting of two adults and two children under 14. Compared to 2023, due to an increase in the amount of income needed to meet the minimum food and non-food (goods and services) needs of a person calculated by the Ministry of Social Security and Labour of the Republic of Lithuania, the absolute poverty threshold grew by 26 per cent.

In 2024, the absolute poverty rate in the country accounted for 5.8 per cent, compared to 2023, increased by 2.2 percentage points. In 2024, about 167 thousand residents of the country lived below the absolute poverty threshold.

4.2 per cent of urban population received disposable income below the absolute poverty threshold (in five major cities – 3.9 per cent, in other towns – 4.7 per cent), in rural areas – 9.3 per cent.

The absolute poverty rate of working-age population was higher than that of children under 18 or persons of retirement age. In 2024, it accounted for 6.9 per cent and, against 2023, increased by 2.5 percentage points.

In 2024, absolute poverty rate in households with children accounted for 5.3 per cent and, compared to 2023, increased by 2.2 percentage points. Over the year, in households without children, the absolute poverty rate increased by 2.3 percentage points and, in 2024, accounted for 6.3 per cent. By household composition, persons living alone and persons living in households consisting of one adult and dependent children most often lived in absolute poverty (absolute poverty rate – 9.4 and 14.2 per cent respectively).

Among employed persons, the proportion of those living below the absolute poverty threshold made up 2.5 per cent, among the unemployed – 35.4 per cent, among old-age pensioners – 2.9 per cent. Compared to 2023, the absolute poverty rate for employed persons increased by 0.7, the unemployed – 11.7, old-age pensioners – 1.3 percentage points.

Social benefits had the greatest impact on the absolute poverty rate for one adult with children: in 2024, after the deduction of social transfers, the absolute poverty rate of these households would increase from 14.2 to 33 per cent.

Data on the income and living conditions of the population were collected in January–April 2024 after performing the survey on income and living conditions and interviewing 6.7 thousand households randomly sampled from the Population Register.

 

The Ministry of Social Security and Labour of the Republic of Lithuania: the at-risk-of-poverty ratein the country is unacceptably high

“The statistics published today by the State Data Agency confirm what has been known for many years – the at-risk-of-poverty rate in Lithuania is intolerably high. According to the published figures, it is likely that Lithuania will rank among the bottom three countries in the European Union in terms of poverty risk level: only Bulgaria and Latvia have worse indicators”, noted Jekaterina Navickė, Adviser to the Minister of Social Security and Labour of the Republic of Lithuania.

In her opinion, the problem of poverty is highly relevant and does not resolve itself even in times of economic growth. The causes of poverty are numerous and complex. Three key aspects were highlighted: the unacceptably high poverty risk among people of retirement age, poverty among single parents, and poverty among the unemployed.

A number of measures have already been taken to improve the situation: for example, the basic part of the pension has been increased. However, it is clear that this is not enough. One of the main goals is to ensure a more rapid increase in the individual part of the “Sodra” old-age pension. There are also plans to review child maintenance benefits and the procedure for indexing social assistance pensions. Targeted measures are also planned to address poverty among the unemployed: including adjustments to benefit amounts, enhanced protection in cases of unemployment, and a more flexible and balanced benefit system.

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