Dubai: An impressive 76 per cent of UAE residents consider the UAE as a savings destination, particularly younger individuals, according to National Bonds’ CEO Mohammed Qasim Al Ali.
Moreover, only 16 per cent send their savings to their home country, and 8 per cent consider savings schemes to non-home country markets, revealed Al Ali. The index also revealed that a third of the surveyed audience hopes to retire in the UAE.
These findings were disclosed in the 10th edition of the National Bonds’ annual Savings Index, released on Tuesday. The survey, conducted over the past year, has a survey size of 2,000 respondents living in the UAE.
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“An impressive 76 per cent of respondents (in the Savings Index) consider the UAE the prime destination for their savings and investments,” he said. “This, of course, does not come out of thin air.”
National Bonds, the UAE’s Shari’a-compliant savings and investment company owned by the Investment Corporation of Dubai, saw its investments increased to reach Dh14 billion this year. “And this is an impressive growth compared to what we were managing during the pandemic (Dh8 billion). This indicates a positive accelerated growth in the culture of savings in the UAE,” said the CEO.
UAE as a retirement hub
About 37 per cent of the surveyed audience hope to retire in the UAE. Al Ali said the country is becoming a regional magnet for those considering retirement. “This, too, is because of the new laws and initiatives that have made it easier for residents to retire in the country, including the Golden and retirement visa schemes.”
He said that only 8 per cent of the surveyed audience consider returning to their home country upon retirement. “The new job loss insurance scheme has also provided greater incentives for people to live in the UAE,” he added.
The CEO also said that attitudes towards savings among UAE residents have changed considerably post-pandemic. “About 84 per cent of respondents believe in the importance of having an emergency fund. I think COVID-19 was an ultimate lesson for us that life can stop at any time,” he said.
