Eighty-two per cent of expatriates in Bahrain are feeling the pinch of rising cost of living, a major study of lifestyles revealed.

Despite nearly two thirds of those surveyed saying they moved to the Gulf to improve their finances, an overwhelming majority claimed their ability to save for the future has been restricted.

This is compared to 85pc of expatriates in Qatar and 65pc in the UAE, according the second Zurich International Life (ZIL) Wealth Monitor.

The student researchers of the attitudes and future financial plans surveyed 700 expatriates living in the UAE, Bahrain and Qatar on their approaches to financial planning and lifestyle.

It focused on people's views on the impact of the current economic climate on their financial affairs.

The research was conducted during face-to-face interviews of men and women aged between 18 to 50 years during April by the Dubai-based company Pan Arab research.

In Bahrain, 200 expatriates were quizzed, including Asians, Arabs and westerners.

Despite the financial difficulties, the study revealed that only 18pc of those surveyed in Bahrain have sought the help of a financial advisor at home or abroad and 10pc approached a bank.

A majority of 41pc relied on the advice of friends, family and colleagues while buying products, according to the report.

Around 57pc of expats in Bahrain said the quality of their work and life balance is better than in their home country.

More than 71pc were confident of being able to retire at their ideal age.

ZIL Middle East regional director Paul Haran said that at a time when the region was facing rising prices and soaring levels of inflation, the research gave an insight into how economic factors are affecting consumer confidence in the region.

"With today's continued economic uncertainty, everyone is beginning to tighten the belt. The gulf region is no different," he said.

"What is interesting though, is the fact that in spite of this being a region associated with widespread wealth and booming economic growth, expats are now feeling the pinch.

"It is encouraging to see such a high proportion of expats are prioritising and thinking about saving and investing for the future.

"But our research also highlights a worrying lack of awareness in terms of where to seek financial advice from." -TradeArabia News Service