Quotes: MENA   Enter Symbol: NewsLetter: Search: advanced

Saudi - Even used cars are now unaffordable  Join our daily free Newsletter

MENAFN - Arab News - 10/12/2013
No. of Ratings : 0
Add to Mixx!



(MENAFN - Arab News) Saudi youth are irked by the rising prices of automobiles in the Kingdom.
The used car market was an attractive option for customers who couldn't afford new cars but now local car agencies are selling used cars for as high as SR40,000, according to experts.
A steady increase in the price of vehicles in the local market has forced several Saudi youth to go in for the 4-year installment scheme to own a new car.
However, most Saudi and expat consumers undergo a money crisis owing to the rising cost of living and are often unable to complete the installment plan for their new cars within the stipulated time period.
Experts in the local automobile market point out that a customer needs to spend at least SR60,000 for a new car.
There are several factors which have attributed to the rising costs of vehicles. They include a surge in the cost of highly advanced technologies in cars, the cost of accessories and extra fittings for luxury services.
"The prices of new models are unreasonably high especially because most customers only earn about SR6,000 per month. Therefore the used car market was very popular among customers due to the low prices.
"Our customers can also check the used cars for safety and maintenance," said Salah Al-Shaalan, supervisor of an exhibition for used cars.
Some customers think that a used car may be cheaper than a new one but they don't realize that a used car needs more maintenance.
"I bought a used Japanese car for SR30,000 but there are many problems with it. I need to take it to the workshop every month. I have already spent more than SR10,000 to fix it," Tareq Ismaeel, a Sudanese resident working in the private sector told Arab News.
Waleed Mosa, a Saudi employee working in the private sector, told Arab News that the monthly installment for his car consumes a major chunk of his salary. But he thinks it is a safer bet than a used car which would require more money to be maintained. "After all, one needs a car in the Kingdom," he added.
Faisal Abu Shousha, head of the National Committee for Automobile Agents at the Council of Saudi Chambers of Commerce and Industry, said earlier: "Fluctuations in the value of major currencies play a major role in determining the prices of vehicles."
A rise in the value of the yen or the euro, for example, would affect the prices of vehicles manufactured in Japan and the European Union.

 


Arab News




  MENA News Headlines
 May 30 2015 - Etihad Airways profits double to USD73m in 2014MENAFN
(MENAFN) Etihad Airways said its profit rose by more than half to USD73 million last year as it carried more passengers and used its stakes in other airlines, Arab News reported.The government-backed ...

 May 30 2015 - Saudi's SAMA net assets down to USD678.8b in AprilMENAFN
(MENAFN) Net foreign assets at Saudi Arabian Monetary Agency fell to USD678.8 billion in April, down by USD11.8 billion or 1.7 percent from March, Arab News reported.Assets dropped 6.8 percent from a ...

 May 30 2015 - Oman to invest USD7b in Indonesia projectMENAFN
(MENAFN) Oman has committed to invest USD7 billion to build oil storage facilities, a petrochemical plant and a refinery in Indonesia, Arab News reported.Oman also agreed to supply crude oil to the ...

 May 30 2015 - Qatar- Preparations for 2022 World Cup to continueThe Peninsula
(MENAFN - The Peninsula) Qatar yesterday defended its successful bid for the 2022 Fifa World Cup and said it was moving forward with preparations to host the event. Qatar will "cooperate fully with ...

 May 30 2015 - IS seizes control of airport in Libya's Sirte: Tripoli govtThe Peninsula
(MENAFN - The Peninsula) The Islamic State jihadist group has seized control of the airport in the city of Sirte after forces of a Tripoli-based Libyan government withdrew, a spokesman said Friday. ...

 May 30 2015 - 4 dead as Saudi 'foils' attack on Shiite mosque: ministryThe Peninsula
(MENAFN - The Peninsula) A car blast outside a Saudi mosque during Friday prayers killed four people, including its driver, in an attack that was "foiled" by the authorities, the interior ministry ...

 May 30 2015 - Iraq- 85,000 flee Ramadi since IS capture: UNThe Peninsula
(MENAFN - The Peninsula) Around 85,000 people have fled Ramadi since the Islamic State group captured the Iraqi provincial capital two weeks ago, the UN said Friday, warning that Iraqi authorities ...

 May 30 2015 - IS bombs second Saudi Shiite mosque, killing 3The Peninsula
(MENAFN - The Peninsula) An Islamic State jihadist killed three people Friday when he blew himself up in a car outside a Shiite mosque in Saudi Arabia, the second such attack in a week. The bombing, ...

 May 30 2015 - Huthi rebels kill Yemen capital's governor: relativesThe Peninsula
(MENAFN - The Peninsula) Yemen's Shiite Huthi rebels have killed the capital's governor in clashes that erupted during an attempt to detain him, his relatives said Friday. Sanaa governor Abdulghani ...

 May 30 2015 - Yemen's Saleh says Saudi offered him 'millions' to fight HuthisThe Peninsula
(MENAFN - The Peninsula) Yemen's ex-president Ali Abdullah Saleh said in an interview broadcast Friday he had rejected "millions of dollars" Saudi Arabia offered him if he stood up to the Shiite ...

more...


 






Google

Arab Advisors_12th convergence conf

 
 

Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  
 

Middle East North Africa - Financial Network
Arabic MENAFN

Main News
News By Industry
News By Country

Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices

Commodoties

Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks
 

Algeria 
Bahrain 
Egypt 
Iraq
Jordan 
Kuwait 
Lebanon
Morocco 
Oman 
Palestine
Qatar 
Saudi Arabia 
Syria
Tunisia 
UAE 
Yemen

Weather
Economic Calendar
Financial Glossary


Financial Calculators

RSS Feeds [XML]

Corporate Monitor

Events

Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters


 
© 2014 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help