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Corona puts Liberecer in financial difficulties

About half of the residents of the Liberec region are in financial difficulties due to Corona. For example, 43 percent of people have lost part of their income in connection with the pandemic. That is the result of a survey by the Financial Emergency Advice Center and the Czech Savings Bank.

Most households solve the financial problems by reducing their spending. Every fourth inhabitant of the Liberec region takes out a loan in the current existential crisis, mainly from relatives or acquaintances. There is significantly less interest in bank loans. “People are more cautious,” says David Šmejkal, director of the financial emergency advice center. “If you decide to run into debt, only to solve basic problems: money for food or rent.”

A quarter of Czechs have to get by on 10,000 kroner a month (around 400 euros). The over 54 age group is worst affected. Czechs up to the age of 26, who have around 5,000 kroner less per month (around 200 euros), also have to save.

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