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Curb the urge to splurge

DUBAI - Shopping malls in the UAE are often compared to an oasis in the desert. People from all nationalities and walks of life gather at ‘local watering spots’ to meet, eat, hangout, spend time and most importantly ‘shop’. Day or night, weekends or weekdays, daily-recorded footfalls in shopping malls go into several thousands.

Latifa Jamal (name changed on request), a 26-year-old Lebanese national was out shopping for clothes for her three-year old niece at Dubai Mall. “On an average I go shopping once or twice a week. I do look at bargains. Am I am compulsive shopper? Sometimes (laughs), I once spend Dh13,800 on a rash shopping spree. But it’s not everyday.”

Thirty-one year old Daniella J, a Russian national bought herself a Dh12,000 leather bag last month. Her husband, British national Walter said: “All of us go on a shopping binge every once in a while. What’s the harm in treating yourself to something nice?”

Several studies suggest that the financial consequences of compulsive buying are obvious given the large amount of debt reported by compulsive buyers.

Voicing the need for a sustainable future, Nobel Peace Prize-winner Professor Mohan Munasinghe, who was in Dubai last week said globally people are consuming more than the bio-capacity — the capacity of an area to provide resources and absorb wastes — of the planet. Eighty-five per cent of the consumption is being done by 20 per cent of rich people across the planet, noted Professor Munasinghe. The economist advised residents in the country to cut down on excessive consumption and stop leading a ‘wasteful lifestyle’.

Munasinghe shared the 2007 Nobel Prize for Peace with former United States Vice President Al Gore. He was the vice chair of the UN Intergovernmental Panel on Climate Change. Presently, he is the Chairman of the Munasinghe Institute for Development (MIND) in Colombo, Sri Lanka.

“Two billion of the world’s population are poor and the remaining 1.4 billion are rich. It is an obvious conflict since there is not enough to feed the poor.” He said even though climate change is a pressing issue, more must be channelled to conserve water and oil resources.

Experts speak

Sahar Moussly, a Life Coach at Life in Harmony — an organisation that focuses on corporate and personal counselling, has an interesting theory that explains the spending habits of people. Moussly plays advisor to several couples, individuals and families. “Compulsive shopping is only the end effect of a deeper problem. There are times when women have gone on a shopping-spree to get back at their spouses, like a revenge mechanism. Low self-esteem is also one of the major reasons; like binge-eating, people go binge- shopping,” said Moussly. She added that spending is also a relative concept. For some, Dh1,000 is ‘exceeding the budget’ and for several others spending Dh20,000 on a handbag is going over board.

No stop to shopping

Even though increasing footfalls and spending can be considered good for the economy, economists like Munasinghe advice people to go slow on spending for the sake of sustainability. Additionally, the world’s best-known shopping destination is continuing to record higher footfalls and bigger profits. Emaar Retail welcomed more than 4.75 million visitors to its attractions in Dubai in 2011, recording a growth of over 13 per cent in visitor numbers compared to 2010. Reel Cinemas at The Dubai Mall and Dubai Marina Mall, welcomed more than 2.2 million patrons, while Dubai Aquarium and Underwater Zoo played host to over 1.1 million residents and tourists, according to press releases.

Arif Amiri, Chief Executive Officer, Emaar Retail said: “The city’s retail sector has been reporting consistent and sustained growth with Dubai serving as the hub for nearly 2.5 billion.” Meanwhile, Majid Al Futtaim holding, the operator of Carrefour and City Centre shopping malls has reported a 10 per cent growth in its revenues for 2011. The company said its 2011 revenues touched Dhs 18.7 billion.

Studies and expert opinions have also noted that excessive shopping can give rise to environmental problems. For example, according to an environmental survey conducted in 2011, UAE used approximately 11 billion plastic bags.

Steps towards Sustainability

Munasinghe advised people how simple acts like using public transport and reducing energy consumption by using smarter products can bring about a sea change over a period of time. “Children of the future must not be born into debt. The community must learn to live within their means and not exceed their bio-capacity,” he stressed. The Millennium Consumption Goal designed by Munasinghe aims at helping the world’s poor. Profits earned from conservation activities in economically developed nations will be pumped into projects designed for the well being of a poorer nation.

“The way I see it, the fight for sustainability is a race against time. Conservation should begin at grass root levels. Upcoming generations must be educated on the importance of saving natural resources. And it is up to the affluent to take charge in this situation since a lot of it has to come from voluntary actions,” said Munasinghe.

Smart Shopping

Get rid of credit cards. Lock it away because you do not feel the pinch of spending when you swipe your credit card.

· Make a list before shopping and try to exercise control

· Make a monthly/weekly note of what you need.

· You can occasionally treat yourself to a something you want. But it doesn’t have to be too expensive. Keep a budget.

· Buy yourself a book instead of a jacket. Avoid thinking too materialistically.

· When you feel the urge to go on a shopping-spree, go for a walk instead.

· Write down what you spend on. Keep a small book of expenditure

· Draw a schedule for payment. Pay unavoidable expenses like rent, electricity, water and other expenses first in order to avoid debt.

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