BRITAIN ON THE BRINK

Hey there! My name is Uneesa, and if I had to give myself a Forbes 2-page spread, the headline would read “I love God, women and money.”

Why? Well, other than loving God, women and money - I want to help as many women as possible take financial control.

Join me, as I’ll be holding your hand through the bold, new world that is finance - and helping to demystify finance by asking WTF is this?

WTF HAPPENED TO ME THIS WEEK?

Last week, I was serving lewks and knowledge at Dubai Fintech Summit. I kicked off by attending Brian Armstrong (CEO Coinbase) chat and announcement that Coinbase will be expanding to MENA, along with Ripple. Considering the clampdown on crypto by the SEC in the US, the UAE is branding itself as the crypto frontier… definitely one to watch.

I was also moderating a session on the future of crypto in emerging markets. Joining me was CEO and Co-Founder Fasset, Raafi Hossain and Pakistani singer-songwriter Ali Zafar (apparently he’s Pakistan’s answer to Ed Sheeran - what a time to be alive.)

The discussion was interesting, with a focus on censorship, financial transformation and what true financial inclusivity could look like if executed well.

WTF HAPPENED THIS WEEK?

It’s been ONE HELL OF A WEEK for finance… in case you missed it, here’s a recap on the top 3 finance stories:

BRITAIN IS A POVVO STATE

The Bank of England (BoE) has increased interest rates for the 12th consecutive time, lifting the cost of borrowing to 4.5% (from 4.25%). The Monetary Policy Committee (the people behind the interest rate increase at the BoE) stated there would be “no recession this year” - which is a stark difference from the “longest-lived recession in modern history” we were all faced with.

So what does this mean for you?

Well, borrowing money for a mortgage loan is probably still as tough as when Liz Truss and Kwasi Kwarteng were wilfully crashing the economy. Banks want to encourage you to put money into your savings accounts rather than spend right now to help stabilise the economy. By increasing interest rates, it’s hoped this will suppress inflation which is still hitting double digits (10.1%).

I go into detail about the conventional vs Islamic banking model here, but to summarise conventional banking is a lot like that popular girl in school who spent her time scheming, but ends up beg-friending you when you have a glow-up and you’re thriving - useful for survival, when you didn’t know any better.

Expect inflation to hit roughly 5% at the end of the year, according to the BoE, rather than the 4% first previously forecast. Rishi’s got a lot of stuff to get through…

YOU GET A MORTGAGE, AND YOU GET A MORTGAGE, AND YOU GET A MORTGAGE AND… (okay, you get the picture)

Renters in the U.K. will be able to borrow up to 100% of the value of a property without a guarantor or deposit in a new mortgage plan introduced by Skipton Building Society.

• The new mortgage product, aimed at first-time buyers (FTB) who are currently renting, has a fixed rate of 5.49% for five years, over a maximum term of 35 years.

• The new Skipton deal is widely reported to be the first time a mortgage lender has offered 100% mortgage products since 2008, when some building societies offered rates of up to 125%. Many of the products were then pulled from the market as the country fell into financial crisis.

• The offer is only available to FTB, and is subject to affordability and applicants’ credit scores, as well as a good track record of rental payments over at least 12 months.

• According to research carried out by Skipton, 35% of renters are struggling to save due to increased rental costs.

  What to consider

• Pros include: no deposit needed, getting on the property ladder ASAP, priority for FTB, mortgage repayments may be cheaper than renting.

• Cons include: higher than average interest rates to be paid, it’s easier to fall into negative equity which means, if property prices fall, the value of your home could be less than you owe on the mortgage.

I provide a session on halal mortgages as part of my 6-week crash course ‘Finesse Your Finances’. Learn more here and use discount code:

FYF7623

for 10% off on selected courses.

This is exclusive to you and will only be available for the next 48 hours! YALLA, what are you waiting for?

PLEASE NOTE - Courses are strictly for sisters only

GOING FOR GOLD

If Gold were a Taylor Swift album, it’d be in its Fearless era - a trusted classic. And the numbers don’t lie - Gold has made a 10% return in 2023 thus far, and 23% return had you invested in Q4 2022.
China’s reemergence post-Covid has meant Chinese consumers have rushed to buy more jewellery, coins and bars. To add, continued geopolitical tensions in Europe have sustained economic uncertainty, fuelling a surge in gold prices as well as currency fluctuations and eye-watering inflation rates.

Gold is often viewed as a hedge against inflation and given the instability in the banking sector (Oh ‘Murica), economists talking about the likelihood of a recession in a Rachel-Ross sort of way has led to investors looking for a financial safe-haven.

The upward trend is definitely to be monitoring - and remember, diversification is key when building a strong investment portfolio!

IT’S GIVING… SADAQAH OF THE WEEK

This week we’re giving Southall Black Sisters some much needed airtime!

Southall Black Sisters is a charity based in (you guessed it) Southall! They’re dedicated to supporting black and minority ethnic women experiencing domestic violence, gender-based discrimination, and other forms of gender-related abuse.

They provide advocacy, advice, and assistance to enable women to reclaim their rights, challenge injustice, and achieve safety and independence.

Consider donating today

Expect…a lot less from me (my perfectionism is crippling). ‘til next time, Salaams all!