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Mon 8 Aug 2016 12:33 PM

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Wrong-changed UAE residents ‘lose $6.8m a year’

Euromonitor claims 5% of transactions are rounded up, by average of 20 fils

Wrong-changed UAE residents ‘lose $6.8m a year’

UAE residents lose a total of AED25 million ($6.8 million) each year because of incorrect change, according to a report on Monday.

The lack of 10 and five fils coins in the market often leads cashiers to ignore any change value below 25 fils, contributing to overall loss, it was said.

An analysis by Euromonitor International for Gulf News estimated that about 5 percent of transactions in the UAE were rounded up, each transaction by an average of 20 fils.

In some cases, because exact change is not available, the customer will not receive any change. In total, AED25 million is lost to UAE residents each year as a result.

Nikola Kosutic, research manager at Euromonitor, said: “Combining fully researched and estimated data, we come to the estimate of AED25 million lost annually due to not receiving correct change. This is three dirhams per person a year, on average.”

The research showed that in 2015 there were 2.513 billion cash transactions in UAE with a total value of AED55.121 billion ($15 billion).

The numbers reportedly take into account the possibility of receiving an extra five, 10, 15 and 20 fils at times, and not receiving the correct change in others.

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