Luminor Midsummer Index: average salary buys 17.6 Midsummer baskets

According to Luminor's Midsummer Index, this year's Midsummer feast table is cheaper than last year, and the purchasing power of an average net salary earner has grown by as much as a fifth over the year. With Estonia's average salary, one can buy 17.6 Midsummer baskets this year, making this one of the brightest Midsummer celebrations in terms of purchasing power in a long time.

Estonia's long period of rising prices and declining purchasing power has finally been broken. Luminor's Midsummer Index shows that this year's Midsummer feast table is more affordable than last year, and the relationship between average net salary and the holiday shopping basket has improved significantly.

Luminor's annually published Midsummer Index measures how many typical Midsummer baskets can be purchased with Estonia's average net salary. This year, that figure is 17.6, meaning that an average salary earner can set a considerably more abundant Midsummer table this year compared to a year ago.

Purchasing power grew by a fifth

Particularly noteworthy is the fact that an average salary earner's table this year is a full fifth more abundant than last year. This means that both wage growth and a decline in the total cost of the Midsummer feast table have worked together, two factors that combined give Estonians significantly more breathing room in their pockets.

After years during which high inflation eroded wage growth and many households had to cut back on holiday spending, this year's Midsummer Index brings clearly positive news for the first time in a long time. This is a sign that Estonia's economy is recovering and residents' real wages are once again on an upward trajectory.