BlackRock: Job savings programs are an opportunity to enhance retirement readiness and support economic growth in the UAE
Dubai, June 11 / WAM / A new report issued by BlackRock, the largest asset management company in the world, showed that the UAE has an important opportunity to strengthen the retirement and long-term savings system in a way that supports the financial security of individuals and contributes to directing local savings to be long-term investment capital, which enhances the depth and liquidity of the capital markets and supports the ability of individuals to grow their wealth in parallel with economic growth.
The results of the “Insights on Retirement in the Gulf Cooperation Council Countries for 2026” report, revealed by BlackRock during a press conference held in Dubai today, showed that strengthening retirement systems can contribute to mobilizing local capital on a large scale, which supports capital markets in the UAE and enhances economic diversification efforts and sustainable local investment.
According to the report, 93% of Emirati citizens and 91% of residents considered savings programs based on defined contributions to be an attractive option, while 90% of citizens and 86% of residents confirmed their willingness to participate in such programs.
The report indicated that there is a clear demand for retirement and career saving solutions, which would improve financial readiness for the future and transform saving intentions into actual results.
The retirement system in the UAE reflects the diverse nature of the labor market, as it combines government pensions for citizens and end-of-service benefits for residents, in addition to options for voluntary savings or savings through employers.
Kashif Riaz, Director of the Financial Advisory Unit in the Middle East at BlackRock, said that workers in the UAE have a high degree of awareness and commitment to planning for the future, explaining that the data indicate that there is a gap in knowledge related to retirement more than a gap in commitment or desire to save.
He added that there is a real opportunity to expand professionally funded and managed job savings programs, which contributes to improving the financial results of individuals and at the same time supports capital markets, economic diversification, and long-term growth by directing local savings towards productive investments.
In statements to the Emirates News Agency, WAM, on the sidelines of the press conference, Lamia Al Shaabi, Chief Investment Solutions Officer at BlackRock Middle East, said that the company conducted a survey that included citizens and residents with the aim of understanding their outlook on retirement, long-term financial security, and saving and investment behaviours.
She added that the results of the survey showed that workers in the country are already saving and have a clear desire to enhance their financial preparedness for the future, and that they need more guidance and guidance to understand the best ways to enable them to achieve their retirement goals.
She explained that retirement is a long-term strategic issue in nature, noting that the study showed that many individuals find it difficult to imagine their financial situations after 30 years or more, which highlights the importance of building more efficient retirement systems that help them plan for the future better.
She pointed out that the results of the study showed a great convergence between citizens and residents in terms of saving and investment behavior, as both groups seek to achieve a greater degree of certainty about their future financial situations, pointing out that individuals who enhance the pensions or benefits available to them with additional savings plans feel a higher degree of readiness for retirement.
She stressed the importance of establishing a culture of saving and investing from an early age, explaining that saving alone is not enough to achieve a comfortable retirement, but rather it must be coupled with investing money in a thoughtful way that ensures its long-term development, stressing the importance of the role of financial institutions in providing solutions and guidance that help individuals make more efficient financial decisions.
She also stressed the importance of cooperation between individuals, employers, regulators and policy makers to build a more effective savings and retirement system, noting that long-term savings programs in the work environment can constitute an important tool to support employee stability and retain competencies, in addition to enhancing financial security for workers after the end of their careers.
The report highlighted that a large portion of family savings in the UAE is still concentrated in cash at a rate of 49%, gold at a rate of 40%, and real estate at a rate of 18%.
The results also showed that 56% of participants intend to increase their retirement savings during the coming period, which reflects a clear willingness to take additional steps in this area.
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