Incomes of Russian entrepreneurs fell to a minimum over the past 20 years
News

Incomes of Russian entrepreneurs fell to a minimum over the past 20 years

3 August , 11:36EconomyPhoto: news.myseldon.com
Income from entrepreneurial activity over the past 20 years has declined to its lowest levels. In the second quarter of this year, their incomes amounted to only 3.5% of all incomes of the population. Back in the first quarter, this figure was almost twice as high and amounted to 5.9% of all incomes of Russians.

Business income includes income of individual entrepreneurs, income from rental housing, royalties and others. Over the past 20 years, this indicator has decreased in Russia from 14.7% in 2000 to 3.5% during the crisis this year. For comparison, during the crisis of 2008-2009, this indicator remained at the level of 9%, during the crisis of 2014 - around 6%, according to Rosstat data.

In monetary terms, the incomes of entrepreneurs fell in April-June this year to 512 billion rubles, which is almost 300 billion rubles less than in the first quarter, RBC writes.

Vladimir Tikhomirov, chief economist at BCS Global Markets, explained that business income has declined due to coronavirus restrictions during the spread of the epidemic. During the period of self-isolation, most entrepreneurs were forced to cease their activities, many have now returned to work, but with restrictions for business, in particular, for example, the number of visitors to restaurants and cafes.

The second reason for the decline in this indicator, to which the head of the analytical center CIAN, Alexei Popov, drew attention, was the decrease in the cost of renting real estate, both private and commercial. During this period, the incomes of those who rented apartments for rent in large cities virtually zeroed.

The consequences of this year's economic crisis were significant for the majority of Russians as well. Real disposable incomes of the population in April-June of this year fell by a record 8% year over year. The unemployment rate continues to rise . Earlier, experts predicted that without measures to support Russians from the state, the drop in income would be even more significant and could exceed 20%.

This is also confirmed by the data of Rosstat. In the second quarter of this year, social payments to Russians amounted to almost 22% of all monetary incomes of the population during this period. To support the Russians during the spread of the epidemic, the authorities fixed the maximum payments for unemployment benefits at 12.1 thousand rubles. Earlier, unemployment payments started from 1.5 thousand and depended on how long ago a person lost his job and how long he was without it. In addition, since the beginning of the spread of the epidemic, the authorities have introduced additional payments for families with small children under three years old. They were given five thousand rubles each. Families with children from three to 16 years old received 10 thousand rubles each. These payments were made in June and July of this year.

Found a typo in the text? Select it and press ctrl + enter