UAE Doubles Support for Low-Income Emirati Families to $7.6Bln

 Vehicles queue to refuel at a petrol station in Dubai on June 30, 2022. (AFP)
Vehicles queue to refuel at a petrol station in Dubai on June 30, 2022. (AFP)
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UAE Doubles Support for Low-Income Emirati Families to $7.6Bln

 Vehicles queue to refuel at a petrol station in Dubai on June 30, 2022. (AFP)
Vehicles queue to refuel at a petrol station in Dubai on June 30, 2022. (AFP)

The United Arab Emirates is doubling the financial support it provides for low-income Emirati families to AED28 billion ($7.6 billion) to help them with soaring living costs in the Gulf state.

The expanded budget allocation, directed by UAE President Sheikh Mohamed bin Zayed Al Nahyan, includes increasing existing benefits and establishing new ones targeted at mitigating the impact of inflation on food prices, and rising fuel and household energy costs.

The move is aimed at raising the annual social support allocation from AED2.7 billion ($734 million) to AED5 billion ($1.3 billion) to ensure family and social stability and provide the citizens with a decent life.

The program, overseen by the Ministry of Community Development, covers various social aspects for national families with limited income, including the allowances of the head of the family, the wife, and the children.

It also covers financial support for housing and other basic needs such as food, water, electricity and fuel, in addition to temporary financial support for the unemployed who are over 45 years old.

It introduced four new allowances: housing allowance, university education allowance, the allowance for unemployed citizens over the age of 45, and the allowance for unemployed job seekers.

The allocations are aimed at enabling low-income Emirati families to obtain adequate housing, encourage outstanding children to enroll in university, and support elderly citizens.

The housing allowance provided is between AED1,500 ($408.3) to AED2,500 ($680.5) per month until the family obtains government housing. Applicants who live with their parents or any other family are entitled to 60% of the sum.

The social welfare program provides a monthly subsidy of 50% for electricity consumption less than 4,000 kilowatts, and monthly subsidy for water at a value of 50% for water consumption less than 26,000 gallons, in addition to a monthly subsidy of 85% of the fuel price increase over AED2.1 per liter.



Gold Holds Ground as Jobs Data offsets Safe-haven Demand

A participant shows gold bars during the 21st edition of the international gold and jewelry exhibition at the Kuwait International Fairgrounds in Kuwait City on May 23, 2024. (Photo by Yasser AL ZAYYAT / AFP)
A participant shows gold bars during the 21st edition of the international gold and jewelry exhibition at the Kuwait International Fairgrounds in Kuwait City on May 23, 2024. (Photo by Yasser AL ZAYYAT / AFP)
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Gold Holds Ground as Jobs Data offsets Safe-haven Demand

A participant shows gold bars during the 21st edition of the international gold and jewelry exhibition at the Kuwait International Fairgrounds in Kuwait City on May 23, 2024. (Photo by Yasser AL ZAYYAT / AFP)
A participant shows gold bars during the 21st edition of the international gold and jewelry exhibition at the Kuwait International Fairgrounds in Kuwait City on May 23, 2024. (Photo by Yasser AL ZAYYAT / AFP)

Gold prices held steady on Wednesday as stronger US jobs data countered safe-haven demand driven by simmering trade tensions between the US and China.

Spot gold was steady at $3,349.19 an ounce, as of 1145 GMT. US gold futures were unchanged at $3,373.10.

"US labor data gave markets a bit of relief yesterday, causing a small dip in gold prices. However, tensions between the US and China are still keeping risks high and gold prices supported," said Zain Vawda, market analyst at MarketPulse by OANDA.

Job openings in the US rose in April, though layoffs surged to their highest level in nine months, economic data showed, hinting at softening labor market conditions, Reuters reported.

Donald Trump said on Wednesday that Chinese President Xi Jinping is tough and "extremely hard to make a deal with," days after the US President accused China of violating an agreement to roll back tariffs and trade restrictions.

Washington doubled its tariffs on steel and aluminium imports on Wednesday, the same day the Trump administration expects trading partners to make "best offers" to avoid other punishing import levies from taking effect in early July.

The focus will be on Friday's US non-farm payrolls data for more cues on the Federal Reserve's policy path. Federal Reserve's policy path. Fed officials have reiterated their cautious policy stance, citing risks from trade tensions and economic uncertainty.

"If the data is stronger than expected, interest rate cut expectations are likely to wane, which would weigh on the gold price," said Commerzbank analyst Carsten Fritsch.

"We see gold trading in a range between $3,300 and $3,400 per troy ounce in the short term."

Gold, a safe-haven asset during times of political and economic uncertainty, tends to thrive in a low-interest-rate environment.

Elsewhere, spot silver fell 0.5% to $34.32 an ounce, platinum rose 1.1% to $1,085.50 and palladium lost 0.5% to $1,005.11.