Where Are UAE Residents Investing Their Savings for Retirement?
Despite a strong desire to plan for the future, many workers in the UAE are struggling to build sustainable retirement security. According to a recent study by BlackRock, only 24% of the workforce actively contributes to structured pension or long-term savings plans. Instead, most residents are relying on traditional, non-income-generating assets, with 49% keeping their savings in cash, 40% investing in gold, and 18% putting money into property. This reliance on stagnant assets, combined with a significant knowledge gap regarding retirement options, leaves many worried about outliving their savings and unsure about how much they truly need to set aside.
There is a clear appetite for change, however, with over 90% of those surveyed expressing interest in workplace-sponsored pension schemes. Currently, most employees rely heavily on end-of-service benefits and personal savings rather than structured investment vehicles. Financial experts suggest that by introducing more robust retirement frameworks and accessible professional advice, the UAE could bridge this gap. Empowering employees with better incentives and clearer pathways to invest would not only improve personal financial outcomes but also help mobilize long-term capital to drive further economic growth across the nation.