August 26---stretching the dirham

We began the evening talking about how people are managing to stretch their buying power with inflation being a reality.

One interesting comment was that inflation has always been there. The difference today is simply we are buying more stuff so we see the inflation more.

'Back to school' bites deep into parents' pockets

Abu Dhabi/Dubai: Parents are being faced with steep hikes in the prices of stationery and books as their children prepare to return to school.

Costs have jumped by as much as a quarter, giving an added financial headache to the many families already burdened by steep increases in other costs such as rents.

Suppliers say there could be more cost rises to come in the months ahead.

Housewife J.M., who has three children in a school in Abu Dhabi, said stationery, transport and uniform costs had all jumped from last year.

"Prices of text books have gone up by three to four dirhams, school fees have increased by Dh500, transport by Dh25 and tailor prices by Dh15 to Dh20," she said.

By Dina El Shammaa, Wafa Issa and Daniel Bardsley, Staff Reporters
Published: August 13, 2007, 22:48

The issue becomes what are we not doing or cutting back on?