Migration to Europe and Austria Figures, facts and financial literacy related aspects Dr. Zoltán Bakay 10. November 2018

In 2016 the EU countries had a net migration gain of 1,539,352 people, while natural change was slightly negative (-15,854 people) Migration and natural change balances (no. of people) Source: Eurostat 2

Share of foreign-born population by region of birth (2016, %) Rich nations have and continue to attract the bulk of immigrants, changing the composition of society Share of foreign-born population by region of birth (2016, %) Source: Eurostat 3

Net annual population change in the EU28 (in 1000 people) As the ageing of western societies continues population growth increasingly depends on migration Net annual population change in the EU28 (in 1000 people) Source: Eurostat 4

Number of immigrants to EU countries by citizenship categories Where do immigrants come from (2015)? Number of immigrants to EU countries by citizenship categories Increasing weight of non-EU28 nationals Source: Eurostat * unknown and stateless 5

And where do they go (2015)? Source: Eurostat 6

Composition of immigrants by citizenship and host countries 2015 (in order of highest share of non-EU immigrants) Source: Eurostat 7

Composition of the 1.261.335 asylum seekers in the EU 2016 Composition of top-10 countries Top-20 „other“ countries Source: Eurostat 8

Decomposition of change by large regions Austria has experienced massive immigration from both in- and outside the EU Decomposition of change by large regions Number of people 1656266 1275487 +380779 The share of foreign-born population in Austria increased from 15.3% in 2009 to 18.9% in 2016, which was largely due to massive immigration from new EU member states and refugees from outside Europe Source: Statistik Austria 9

Number and increase of immigrants by country of birth (2016) Romanians, Hungarians, Afghans and Syrians have significantly increased their share among immigrants Number and increase of immigrants by country of birth (2016) Total number of people from top-10 countries is 1070284 in 2016 which is an increase of 28.4% Foreign-born population from all other 231 countries totalled 578724 in 2016, representing an increase of 137585 persons compared to 2009 (or 39.2%) Source: Statistik Austria 10

Educational attainment and finanical literacy of migrants 10. November 2018

Immigrants with low educational levels are overrepresented among the extra-EU28 group Educational attainment of immigrants from …. (by region of birth) vs native population of reporting country (% of total) Source: Eurostat

Austria manages to attract more immigrants with medium qualification, while UK and CH attract academics Educational attainment of immigrants to… (2016, all regions combined, % of total) Source: Eurostat

Pisa scores in Financial Literacy 2015 for immigrants and foreign language natives (OECD averages) Source: Eurostat

Educational attainment of refugees Source Population Low Medium High Central Bureau of Statistics Syrian population 77.9% 12.6% 9.5% Battisti and Felbermayr (2015) Survey among refugees in Turkey 80.0% 11.1% 8.9% IAB, Brückner (2015, DE) Employed & unemployed refugees Germany 71.0% 8.0% AMS (AT) Registered refugees in Austria 82.3% 14.7% BAMF (DE) Survey refugees Germany 62.1% 20.8% 17.1% Source: Berger et al. 2016 *Attainment categorized by authors according ISCED 1997 (low: 0-2; medium: 3-4; high: 5-6)

Thank you for your attention!! 10. November 2018

Appendix: Data on incomes of migrants and refugees 10. November 2018

Incomes in Europe vary widely, with non-EU immigrants having usually much lower incomes Levels of average equivalized diposable incomes of local and immigrant population (immigrants from EU28 and Non-EU28 countries, 2015, in Euro) Source: Eurostat

Not only in southern Europe but also in popular destinations like Scandinavia, AT, Benelux and CH especially non-EU immigrants earn much less than the local population Differences between average equivalized diposable incomes of local and immigrant population (immigrants from EU28 and Non-EU28 countries, 2015, %) Source: Eurostat

Net disposable income levels (2016, in Euro) Income levels in Europe vary widely Net disposable income levels (2016, in Euro) Source: Eurostat

Average equivalized diposable income in 1000 SEK by country of birth Case data from Sweden: income differences over time decrease, but never fully dissappear Average equivalized diposable income in 1000 SEK by country of birth Equivalized diposable income in 1000 SEK by duration of stay and country of birth Source: Swedish Ministry

What do typical refugees currently get? Monthly cash allowance for single asylum applicant in reception center (in Euro/PPS, exc. vouchers and other in-kind hand-outs) Full-board Without food Cash allowances are not more than pocket money, higher disposable incomes depend on whether or not the asylum seeker is granted a working permit *optional only in selected reception centers Source: Eurostat

Realistically the bulk of migrants and refugees will end up in the area of 15-25 thousand Euros per year, once they enter the labour market Mean equivalized incomes for the population with low educational attainment (Euro per year, 2015, net incl. state allowances) In Austria we would speak of a monthly net income of +-1750 Euro in 2015 Source: Eurostat