Dubai: UAE’s residents have started saving and investing more than ever before during the pandemic, according to a Policybazaar survey. As per the findings of the survey, about 41 per cent of those surveyed strongly believe that accumulation of wealth would save their dependents from disruptions.
Furthermore, 29 per cent said that due to fear of deteriorating health/existing medical conditions, they have begun paying more attention towards reducing discretionary spending and creating an emergency fund.
“Customers are becoming more mindful of how they should spend their money and adopt new habits to save/invest for future,” said Neeraj Gupta, CEO Policybazaar.ae, in a statement. “The result of this survey highlights UAE consumer sentiments, spending behavior, and expectations, to be better prepared. It is heartening to see an increased preference for enhanced health covers along with other investment options.”
The study also found that around 28 per cent of the respondents prioritised needs over wants, while 31 per cent gave priority to shopping only when there were offers and discounts available in the market. The study noted how buyers post-COVID spent only on essential products like groceries, rent, utilities, transportation, healthcare, and wellness products as the pandemic was a wake-up call for them to save and invest money for contingencies.
Card payments rise
When questioned about the mode of payment that was preferred for purchasing these essential products, the poll highlighted that 67 per cent mainly opted for contactless payments (majorly, credit cards) while only 17 per cent preferred buying through cash.
Investment trends
More than half (62 per cent) have stated how they are now buying individual health insurance with critical illness riders and 12 per cent are investing in stocks, fixed deposits and other saving schemes or cryptocurrency. Around 16 per cent of respondents are still paying debts, but majority of the consumers in UAE are optimistic about a quick economic recovery in the country.
