DUBAI: Dubai may not get too many rainy days but that is not stopping residents of the emirate saving up for one.
National Bonds, a Dubai-owned savings and investment company, raked in 8.8 billion dirhams ($2.4 billion) last year, up 13 percent despite the pandemic.
The Shariah-compliant company said it had the highest return rate in the region during the same period – investors with bonds of 1 million dirhams and above earned a minimum of 2.95 percent.
Regular savers also rose by 21 percent year-on-year in 2020, the company said.
The pandemic has delivered mixed financial fortunes for people worldwide. While many have suffered financial hardship after losing their jobs, others have seen their savings grow because of reduced traveling costs as a result of working from home. At the same time the closure of entertainment venues and a lack of overseas holiday options have also boosted savings.
“During crises, especially those where the end is unforeseen, individuals cut their expenses and start building their emergency savings as a precautionary measure for themselves and their families,” National Bonds’ Chairman Khalifa Al-Daboos said.
The growth in investments was also a reflection of increased bondholders’ confidence, the company’s chief executive, Mohammed Qasim Al-Ali said.
