According to a recent survey, 95 per cent of expats living in the UAE feel that they are in better or slightly better financial situations than they were a year ago. The survey, conducted by Hoxton Capital Management, received responses from 2000 expats living in the UAE. The findings revealed that salary increases, investment portfolio performance, property investments, and growing pension pots were the primary reasons for the financial improvement among expats.
The study also showed that salaries in the UAE are projected to increase faster than the inflation rate hike due to increased demand for talent and overall economic growth. When asked why they initially moved abroad, 85 per cent of respondents cited employment and quality of life as their primary reasons. The survey highlighted a positive shift in financial sentiment among expats living in the UAE, with 95 per cent feeling better financially compared to a year ago.
Financial priorities for UAE expats include building up savings, investing, focusing on buying or selling property, and planning for retirement. While 60 per cent prioritize building up savings, 45 per cent want to invest, and 40 per cent wish to focus on property transactions. In terms of retirement planning, 25 per cent of expats in the UAE are already planning for it, while 5 per cent prioritize debt reduction.
Compared to expats in other territories around the world, only 60 per cent of expats feel better off financially. The study also revealed that 45 per cent of expats in the UAE review their investment portfolios weekly or monthly, with 10 per cent reviewing them once a year and 15 per cent rarely or never. In terms of tracking and managing finances, 60 per cent of UAE expats use apps, 45 per cent use spreadsheets, 10 per cent use pen and paper, and 5 per cent do not track or manage their finances at all.
Despite the availability of tech solutions, more than half of people surveyed from the UAE still use non-tech methods for tracking their finances. This could be due to the lack of suitable tech solutions that meet their needs. Overall, the survey reflects a positive outlook on financial health among expats in the UAE, with salary increases and investment performance being key drivers of financial improvement. Stay up to date with the latest news and financial insights by following KT on WhatsApp Channels.
