Overseas Vietnamese save for inflation season

Prices increased, but there was no shortage of goods. Pictured is the Carrefour market at the Jax Trade Center, Jax commune, Oise province in the Hauts-de-France region in France – Photo: TD

Determining that inflation will be long-term, some families have adjusted their spending such as restricting travel, commuting, shopping according to the list of necessary goods and increasing eating at home.

Inflation increased

The Netherlands is one of the European countries with the highest current inflation rate of 10.2% in May 2022.

Trinh Tuyet Linh, who lives in the city of Helmond, about 122km from the Dutch capital Amsterdam, said that rising gas and petrol prices have made this cost hidden in all other living expenses. Previously in the Netherlands gasoline 1.6 euros / liter, now 2.4 euros / liter. 1kg of minced meat in August 2021 was 5.5 euros, now 8.5 euros, an increase of more than 50%.

Linh and her husband plan to use less gas for heating next winter and switch to firewood. Right now they are preparing to buy firewood to store for the winter. Due to inflation, the intention to repair the bathroom has been postponed indefinitely because the cost of construction services is currently very high.

According to Linh, a family with two people working will be better. Linh specializes in organizing tours for Vietnamese in Europe. Before the epidemic, with her income, the couple had a surplus of about 1,000 euros/month. A year is about 12,000 – 15,000 euros, enough money for the whole family to return to Vietnam, even the whole family can go on a trip in Europe or buy a big item.

However, since the appearance of the COVID-19 epidemic and the outbreak of the Russia-Ukraine war, Linh has not received any tours. She said that recently her husband had issued an “ultimatum” that she also had to go to work because her husband was worried that his current income (about 3,000 euros after tax) would not be enough to support the family. However, Linh is hesitating because the child is still small.

According to DW Radio, inflation in Germany in May 2022 is 7.9%. Ms. Huong Le, living in Berlin, said that most of the essential consumer goods have increased in price. The highest increase is in petrol and oil 30-40%, electricity and gas 20%. Goods for household consumption such as milk, eggs, meat, flour… increased by 20-30% depending on the type.

This is a record high since German reunification. In March 2022, the supply chain of cooking oil from sunflower and rapeseed was in short supply, the price doubled, from 1.99 euros/liter to 3.99 euros/liter. Food and beverage services have increased by 20-40%.

Ms. Huong said that in general, the basic cost of living in Germany is quite cheap (except for the cost of renting a house). Families with a single source of income will struggle a bit more, but will typically receive 65-67% of government unemployment benefits.

Besides, Ms. Huong’s family has two children and has received an extra 200 euros each from the first wave of the COVID-19 epidemic up to now. In addition, children receive Kindergeld money from the time of birth to the age of 18, 219 euros per month, paid into the account of their parents.

Huong said her family saves about 10% of unnecessary expenses, mainly travel or eating out. Therefore, Ms. Huong Le’s house is not too affected by inflation.

Restrict travel, travel

Ms. Ta My Ngan, who lives in Oregon (USA), confided that from about two months ago, her family began to strictly control their spending and go to the market according to a list of necessary items prepared from home. “The restriction on buying random things is to avoid wasting money. We also have an idea of ​​what to cook for the whole week to buy exactly and not eat out anymore” – Ms. Ngan asserted.

Ms. Ngan said that although she did not notice the price increase of each item, in general, the price of food products increased a lot. About 2-3 months ago, her family had to switch to buying at another supermarket, selling wholesale to retail buyers as a way to consume smarter and save money.

Due to the impact of inflation, Ngan said many families, including hers, have postponed long trips or outings. “When gas was still cheap, we had a friend who used to drive into the city to visit my wife and I, but you haven’t visited in two months,” Ngan said.

Meanwhile, inflation in France reached a new record of 5.8% in May 2022. Mr. D. and his wife T., in the town of Compiegne, nearly 90km from Paris, also confirmed that the thing they limit the most is travel. “In the past, my family used to go to the Asian market in Paris once every two weeks, but now we only go once a month because every time we go back 150km, it’s too bad to fill up with gas” – Mr. D. said.

They also cut back on trips to visit friends far away. Mr. D. said that by prioritizing necessary expenditures, French people spend less on services and eat less at restaurants. Mr. D.’s neighbor opened a spa salon, which used to be very crowded but now has only one customer from time to time.

Mr. D. said that with a minimum wage of 1,300 euros/month, in general, people who work in France can still live. Ms. T. said that she volunteered once every 1-2 weeks at Resto du coeur – a charity organization that provides basic necessities for people with no income or low income.

She discovered that during the COVID-19 epidemic, the number of people applying for support increased by 2, 3 times. Since the start of the war in Ukraine, the number of people applying for it has increased even more.

Looking for suitable solutions to support expatriates

TTO – On the afternoon of March 10, in Hanoi, the Vietnam Fatherland Front held an online conference between the Standing Board of the Central Committee of the Vietnam Fatherland Front and the executive boards of the Advisory Council on consulting work in 2022. is a proposal to support overseas Vietnamese.