The Illawarra Business Chamber is expecting a good Christmas for retailers, despite figures showing the economy is slowing across Australia.
This has been caused by sliding property prices, record household debt, shrinking savings and the drought.
However Executive Director Adam Zarth says alot of people tend to put away money during the year, so their loved ones don't go without.
People are being encouraged to shop locally aswell and support the local economy.
Try to avoid using the credit card, which tends to take a long time to pay off.