Saudis are increasingly buying goods and services on installments to counter rising prices, but this part of the market needs to be regulated to protect and outline the rights of consumers, traders and banks. This is according to a report released recently by the Data Bank of the Riyadh Chamber of Commerce and Industry (RCCI). The RCCI's third report deals with travel and tourism, private schools, recreation parks and centers, installments, financing and shopping malls. The analytical study shows that many Saudis cannot pay cash for their goods and therefore have to pay off the total amount over a period of time. The report found that traders are increasingly facing liquidity problems because they do not get paid the full cash amount for their goods and services. Banks, on the other hand, appear to have an unfettered role in the market, by selling products on installments and providing credit to buyers at the same time. The report recommended that authorities review the installment system being practiced in the Kingdom, to protect the rights of investors and borrowing individuals. The report underscored the importance of establishing an information center to collect relevant data and statistics on the installment system. As for the travel and tourism sector, the report said there will be a total of 86.1 million tourist flights to the Kingdom by 2020, and expects a rise in tourism spending to SR219.4 billion. The report pointed out that Riyadh captured 29.7 percent of the total tourism market in the Kingdom, with travel agencies taking 2.1 percent of the country's tourism profits. The report recommended that travel and tourism agencies adopt new strategies to adapt to the revolution in online bookings. __
