Feb 18 • 09:51 UTC 🇶🇦 Qatar Al Jazeera

How to Turn Ramadan into an Opportunity for Saving and Investment in the Arab World?

The article discusses the shift in perspective regarding Ramadan in the Arab world, from a month of increased spending to an opportunity for saving and investment due to rising inflation and economic changes.

The article highlights the transformation in consumer behavior during Ramadan within the Arab world, emphasizing a departure from traditional high spending on food and consumer goods. With rising inflation rates in several Arab countries, there is a growing recognition of the need to manage finances better during this period traditionally associated with increased expenditure. This shift reflects a broader economic context, where many consumers are grappling with reduced purchasing power and higher costs of living, leading to a reconsideration of how Ramadan is approached.

Moreover, the article references reports from Reuters and the Food and Agriculture Organization (FAO) concerning inflation in countries such as Egypt, Morocco, and Jordan, where food prices have become increasingly volatile. These rising prices are putting pressure on seasonal spending habits, traditionally seen during Ramadan. The insights provided suggest that families are now more inclined to redirect their financial goals toward savings and investments, rather than succumbing to overspending during the holy month.

Ultimately, this change is not just about individual finances; it signifies a broader shift in economic behavior across the region. As economies face challenges and inflation impacts daily living, the approach to Ramadan is maturing into a more financially responsible opportunity that encourages savings and long-term investment strategies, rather than allowing the festivities to lead to unsustainable consumption patterns.

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