Residents in the UAE do believe that this is a good time to buy consumer durable goods with business conditions getting better as opposed to the perceived bad atmosphere elsewhere in the region, a survey has revealed.
The outlook for employment is also slightly better in the UAE than in the Middle East and North Africa, or Mena, region as whole, with 43 per cent stating that there are very few jobs available as opposed to regional 50 per cent who claim the same is true for their country.
The UAE respondents in the latest consumer confidence index, or CCI, survey conducted by Bayt.com, the Middle East’s number one job site, and YouGov, state that there are fewer employees working in their company now than there were last year; 69 per cent of them believe that their salary has not kept pace with the cost of living, and 52 per cent say that their compensation is inadequate.
For the most part, the situation in the UAE follows that of the rest of the region. Respondents state that their financial situation is the same now as it was 12 months ago, though they also believe that the country’s economy has declined.
The survey revealed that the majority of Mena residents have either maintained or improved upon their financial status in the past 12 months, with more positive sentiments for the year to come.
While roughly a third of regional respondents experienced a decrease in their finances in comparison to 2011, another third (34 per cent) state that they have not had any change at all. More than a quarter (27 per cent) claim to have an improved financial situation.
In the next three months, most UAE respondents believe that there will be few additional employees added to their company (38 per cent claim to have a ‘neutral’ sentiment in this regard). Similarly, 41 per cent are neutral as to whether or not their company will keep up with staffing requirements.
Respondents in the UAE are positive about the year ahead, with the majority believing that both their financial situation (49 per cent) and the country’s economy (46 per cent) will have improved. Business conditions and the number of jobs available are also expected to be better, according to 48 per cent and 35 per cent of respondents, respectively.
On the other hand, 33 per cent of residents in the UAE believe that the cost of living will be negatively impacted in the year to come, while 31 per cent believe that cost of real estate for rental or purchase will not be affected.
Roughly a quarter (27 per cent) of UAE residents are expecting to buy a vehicle in 2012, of which almost half (44 per cent) say they will buy new. Only 19 per cent are considering investing in real estate, and of these, 30 per cent that are considering buying a lived-in property. In terms of household goods, the most popular anticipated purchase is a laptop or desktop, followed by furniture and LCD or plasma televisions. According to the quarterly consumer confidence index, or CCI, published by the Department of Economic Development, the overall consumer confidence in Dubai remained robust during the first quarter of 2012, driven largely by a positive outlook on personal finance and strong optimism on job prospects.