"I can resist everything except temptation," wrote the Irish playwright Oscar Wilde. The predicament is familiar to many of us in the UAE, where the temptations are many. This partly explains why an increasing number of people, including those on high wages, are becoming saddled with debt. As The National reported yesterday, citing a survey by Citibank and YouGov, 88 per cent of those who earn more than Dh29,000 a month have credit obligations.
The figures are staggering, yet the phenomenon is not surprising. Seemingly “bargain” deals on everything from electronic goods to perfume can make the most disciplined spenders buckle and part with their hard-earned money. These small amounts can quickly add up, especially when the borrower is exposed to larger debts such as car loans and mortgages. Unmanageable debt has become an increasing burden for many families as their disposable income is being stretched by the rising cost of living and static wages. Many people are forced to go further into debt to service their existing loans, creating an inescapable cycle.
One suggestion that is often made to avoid debt is to shun credit cards. However, cards can be financially beneficial if they are used in a prudent manner and paid off before excessive interest accrues.
To address this issue, the Government has introduced Al Etihad Credit Bureau, which allows banks to make checks on individuals’ credit histories before deciding whether to extend more credit. Yet some banks still seem willing to grant relatively big loans and high credit-card limits to individuals with small incomes.
Tackling the debt problem requires a multi-pronged approach, including public-education campaigns and a more sophisticated approach to personal bankruptcy, allowing people to restructure their debt and work their way out of it. Tighter lending laws may also be required. In the end, it is up to both lenders and borrowers to behave in a responsible manner.
Lexus LX700h specs
Engine: 3.4-litre twin-turbo V6 plus supplementary electric motor
Power: 464hp at 5,200rpm
Torque: 790Nm from 2,000-3,600rpm
Transmission: 10-speed auto
Fuel consumption: 11.7L/100km
On sale: Now
Price: From Dh590,000
The specs
Engine: 3.5-litre twin-turbo V6
Power: 380hp at 5,800rpm
Torque: 530Nm at 1,300-4,500rpm
Transmission: Eight-speed auto
Price: From Dh299,000 ($81,415)
On sale: Now
How to help
Send “thenational” to the following numbers or call the hotline on: 0502955999
2289 – Dh10
2252 – Dh 50
6025 – Dh20
6027 – Dh 100
6026 – Dh 200
Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
- 400m Olympic running track
- NBA-spec basketball court with auditorium
- 600-seat auditorium
- Spaces for historical and cultural exploration
- An elevated football field that doubles as a helipad
- Specialist robotics and science laboratories
- AR and VR-enabled learning centres
- Disruption Lab and Research Centre for developing entrepreneurial skills
UPI facts
More than 2.2 million Indian tourists arrived in UAE in 2023
More than 3.5 million Indians reside in UAE
Indian tourists can make purchases in UAE using rupee accounts in India through QR-code-based UPI real-time payment systems
Indian residents in UAE can use their non-resident NRO and NRE accounts held in Indian banks linked to a UAE mobile number for UPI transactions
UK-EU trade at a glance
EU fishing vessels guaranteed access to UK waters for 12 years
Co-operation on security initiatives and procurement of defence products
Youth experience scheme to work, study or volunteer in UK and EU countries
Smoother border management with use of e-gates
Cutting red tape on import and export of food
BIGGEST CYBER SECURITY INCIDENTS IN RECENT TIMES
SolarWinds supply chain attack: Came to light in December 2020 but had taken root for several months, compromising major tech companies, governments and its entities
Microsoft Exchange server exploitation: March 2021; attackers used a vulnerability to steal emails
Kaseya attack: July 2021; ransomware hit perpetrated REvil, resulting in severe downtime for more than 1,000 companies
Log4j breach: December 2021; attackers exploited the Java-written code to inflitrate businesses and governments
The specs: 2017 Maserati Quattroporte
Price, base / as tested Dh389,000 / Dh559,000
Engine 3.0L twin-turbo V8
Transmission Eight-speed automatic
Power 530hp @ 6,800rpm
Torque 650Nm @ 2,000 rpm
Fuel economy, combined 10.7L / 100km
Company profile
Date started: 2015
Founder: John Tsioris and Ioanna Angelidaki
Based: Dubai
Sector: Online grocery delivery
Staff: 200
Funding: Undisclosed, but investors include the Jabbar Internet Group and Venture Friends
The biog
Favourite films: Casablanca and Lawrence of Arabia
Favourite books: Start with Why by Simon Sinek and Good to be Great by Jim Collins
Favourite dish: Grilled fish
Inspiration: Sheikh Zayed's visionary leadership taught me to embrace new challenges.
