Although most residents in Saudi Arabia expect their finances to stay on track in the next six months, only a quarter think it’s a good time to save, according to a survey.
Some 86 percent of respondents said their financial status would remain stable in the first half of 2015, according to the 2014 National Bonds Savings Index for the GCC region.
And 58 percent of respondents in the kingdom even expected their income to increase in the next six to 12 months.
But only 27 percent said it was a good time to save, while a third were neutral and 42 percent said it was definitely not a good time to save.
A Souqalmal.com survey last year showed that 60 percent of Saudi nationals saved less than 10 percent of their monthly income – and, of those, two-thirds said they saved nothing at all.
While savings accounts are the most popular savings option in the rest of the GCC, in Saudi Arabia 43 percent of respondents used current accounts for saving.
This may reflect why people in the kingdom are less likely to save, as current accounts generally offer a much lower rate than savings accounts.