Non-resident Indians (NRIs) in the UAE spend a big chunk of their income on rent, according to a new survey by investment provider, Standard Life.
The study, which tracked the spending patterns of NRIs in the UAE, found that rent and miscellaneous bills accounted for the biggest chunk of household expenses.
While children’s education was the most important priority for 91 per cent of the respondents, other top expenses were holidays/travelling and health related expenses.
Chris Divito, CEO of Standard Life International (DIFC Branch) said: “Like everyone else, NRIs hope the best for their children and want to give them a good education.
“The study revealed that many respondents hope their children will grow up to be doctors, followed by engineers and chartered accountants.”
But NRIs have a strong saving ethic, allocating some 70 per cent of their disposable income towards savings and investments.
The survey however indicated that most don’t seek professional advice for financial planning. The majority – 44 per cent – depend on family members for financial advice, 21 per cent rely on NRI financial advisers, 18 per cent trust their bank, and 10 per cent turn to non-NRI financial advisers.
The study also found that there is a home bias when it comes to financial products, with 64 per cent of respondents’ preferring offerings from Indian companies.
“With rising inflation and higher education costs, it is prudent to take professional advice for one’s financial planning to achieve different life goals like funding your children’s education, marriage and income in retirement,” said Divito.