The Jamat should be aware that:
- High inflation will continue to impact the price of utilities such as electricity, gas, as well as petroleum products. Households will continue to feel the pressure on routine expenses for food and household items.
- Interest rates are expected to remain elevated impacting the feasibilities of businesses that rely on bank borrowing. Banks are implementing strict conditions for loan approvals.
- The global economic slowdown has impacted many sectors forcing companies to take cost cutting measures. It is expected that competition for employment especially entry level jobs, will be high.
- With unpredictable fluctuations in the stock market, foreign currencies and commodities such as gold, individuals involved in trading without proper understanding have incurred serious losses.
It is advised that the Jamat takes the following into consideration:
- Focus on maintaining a family budget to determine and prioritize necessary spending. If your income allows, show more discipline in monthly savings by cutting unnecessary expenditures.
- Explore options to further reduce costs, such as by limiting electricity consumption to lower utility bills, seeking deals/discounts on daily purchases, and discussing joint transportation with people in your neighborhood to save on fuel costs.
- Prioritize investment in your family’s health and children’s education by enrolling in insurance plans that will provide a safety net for the family.
- It is very important to open bank accounts and to deposit your savings only with proper financial institutions. Households with limited ‘Investment-based knowledge’, should secure their savings in low-risk fixed income products offered by the banks.
- Young and aspiring professionals should be aware that employers assess hirings and promotions based on additional skills along with academic qualification. Continuous efforts to improve work-related skills through relevant courses is very important.
- Women are encouraged to participate in credible skill-development programs and to explore opportunities to increase family income. There are now growing opportunities to work from home via freelancing which should be studied.
- Individuals and enterprises are strongly advised to document and comply with taxation laws keeping in mind the increasing penalties on non-filers of tax. Business owners should be mindful of the revised government policies, relevant duties and currency devaluation trends. It is felt that unnecessary debt-driven business expansion should be reassessed for the time being.
The Council would like to re-emphasize that the Jamat needs to remain very careful in these tough conditions. Households should first and foremost live within their budgets and avoid unnecessary expenditures. The Council will continue to monitor the situation and advise the Jamat accordingly.
