Around 85% of respondents in the UAE feel that they are still not saving enough for their future, according to a new poll from investment company National Bonds. On a brighter note, this proportion is four percentage points lower compared to a similar survey conducted in 2016.
The 2017 Savings Index report stated that 41% of savers in the UAE are planning to start saving this year. The number of those who plan to increase their savings, however, is down – 57% this year, compared to 64% in 2017.
The annual survey, conducted by market research firm Sondos, reported on the savings environment in the UAE and wider GCC region.
“The results of the 2017 Savings Index highlight that, although people want to save, they do not always have the tools or know-how to do so. While it is not surprising to see that residents in the UAE are not saving as much as they believe they should, it is interesting to see the disconnect between the intent to save and the numbers of people saving year-on-year. So, what can be done?” said Mr Mohammed Qasim Al-Ali, CEO of National Bonds Corporation.
“Education, however contrived, remains integral to increasing savings across the nation. The UAE has the largest portion of regular savers in the GCC, and I am confident that we will continue to lead the way in this area if we keep striving to raise awareness of the importance of saving. If people realise the key role which savings plays in securing a happy future, everything else would fall in place. Just look at the statistics, nearly half of residents aim to save more in 2018 – the appetite is there, we just need to tap into it,” he said.
Over two thirds of those surveyed in the wider GCC region believe savings to be important, while two thirds in the region aim to increase their savings in the next six months. When queried on why respondents felt it is a good time to save, 43% of UAE residents cite better investment opportunities.
Over 68% of those surveyed in the UAE claim their financial stability contribute to their overall happiness. The report also cited measures promoting overall happiness to include taking out health insurance and life insurance as well as saving enough to put children through university. M