Sat, Nov 23, 2024 | 21 Jumada Al-Awwal 1446
Sat, Nov 23, 2024 | 21 Jumada Al-Awwal 1446
In the dynamic sands of the UAE, second salary schemes are making waves, attracting attention from a diverse range of residents, particularly expats hailing from South and Southeast Asia, and the nation's citizens. These innovative programs offer an enticing opportunity for individuals to boost their income streams, providing a cushion of financial security for an uncertain future.
Notably, two prominent players in this burgeoning trend are National Bonds and Emirates Draw. National Bonds introduces its second salary plan with a minimal monthly investment of just Dh1,000. Subscribers enjoy the flexibility of choosing a tenure spanning from 3 to 10 years, with the promise of substantial returns. Once the agreed savings period concludes, participants receive their principal amount and accumulated profits as a consistent monthly income, tailored to their preferences.
In contrast, Emirates Draw elevates the stakes by offering a remarkable Dh25,000 per month for a staggering 25 years to the fortunate winner. It's worth mentioning that a majority of Emirates Draw winners hail from the South and Southeast Asian regions.
The second salary plan stands as a beacon of hope in uncertain times, providing residents with a robust strategy to safeguard their future financial stability, especially amidst unpredictable market conditions. This financial safety net allows individuals to maintain their current standard of living without compromising their peace of mind.
According to the National Bonds Savings Index, a pressing concern for 33% of residents, with a particular focus on women in their 40s, is their heavy reliance on a single income source. This vulnerability in the face of economic unpredictability has driven the demand for second salary schemes.
Saqib Mahmood, the Group Chief Commercial Officer at National Bonds, sheds light on the remarkable success of the plan since its launch in March 2023. Nearly 2,000 customers have already joined the initiative, and among them, 32% are women, with an average age of 38 years.
The plan's popularity transcends borders, with a diverse mix of nationalities. The top five nationalities enrolled in the program are Indians (53%), UAE nationals (13%), Filipinos (8%), Pakistanis (5%), and Jordanians (2%).
Saqib Mahmood remarks, "It is evident that both Emiratis and expatriates harbor common savings aspirations, such as entrepreneurship initiation, home acquisition, and securing future educational opportunities for themselves and their children."
In a world marked by global economic uncertainty, especially in the aftermath of the COVID-19 pandemic, the importance of financial stability and a comprehensive retirement plan has surged to unprecedented levels in the minds of UAE residents. Saqib Mahmood asserts that, "Financial stability and a secure financial future are top priorities for all residents in the UAE."
