UAE residents optimistic about their prospects in the New Year

UAE residents are optimistic about their prospects in the coming year, according to a Consumer Confidence Index Survey, conducted by Bayt.com. The findings show that the current situation for residents across the region is little improved, compared to last year but people in the UAE as well as around MENA, are optimistic for the year to come.

Sentiment across the region in regards to the current situation is generally negative. Only 26% of respondents claim that their personal financial situations have improved in the past 12 months, while 32% state that things have become worse. Along the same lines, 34% believe that their country’s economy has declined within the same time period, which leads to this being considered to be a ‘bad time to buy’ consumer durables, according to four out of ten (43%).

Similarly, a third of respondents (34%) believe that business conditions are bad, and, linked to this, employment conditions are poor, with half of those responding (49%) saying there are ‘very few jobs available’. The majority of employees (32%) state that they now have fewer colleagues than they did last year, and, compared to the same time 12 months ago, salary has not kept pace with the cost of living for 69% respondents.

Respondents are generally dissatisfied with their working life. The majority (40%) believe that their current job, career prospects and opportunities for growth are low, while 50% are unhappy with their current compensation, and 68% say that their job security is neutral to low.

Employees have a neutral outlook for the future of their organisation: 35% do not believe there will be any change in the number of employees in their current company, and 37% believe there will be no difference in keeping up with staffing requirements.

According to survey respondents, 2013 will be a better year all round. Personal financial situations are expected to improve (as stated by 49%); business conditions will get better (according to 50%), and there will be more jobs available as a result (according to 34%). While 44% believe that their country’s economy will improve, 22% believe the opposite to be true.

Despite this hope, there is still negative sentiment; 39% state that inflation and the cost of living will increase, and a further 36% believe that the cost of real estate will go up.

In the next 12 months, only 27% of respondents will consider purchasing a new vehicle, of which 51% will buy new. Within the same time frame, 20% will consider purchasing property; of these, 65% will also be looking to buy new.  The three most popular consumer purchases for the next six months will be desktop or laptop computers (25%); furniture (19%) and LCD or plasma televisions (17%).

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