Tuesday, May 28, 2024

Young people need to save more, advises Stanbic boss

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Stanbic Bank staff shed light on financial literacy during Lutanda Community Day
Stanbic Bank staff shed light on financial literacy during Lutanda Community Day

Young people could face a global financial crisis if they don’t develop the habit of saving money, Stanbic Bank Zambia Chief Executive Charles Mudiwa has warned.

“Increased financial literacy among the youth is vital in ensuring a sound economic future for the country,” said Mr Mudiwa, who is also chairman of the Bankers’ Association of Zambia (BAZ).

Young people are among the most vulnerable to financial problems and need to learn how best to manage their affairs. While they do not always have access to financial services they still need to be empowered with the skills to earn, save and budget, explained the senior banker as the industry marked World Savings Day this week.

“Our children could cause the next financial crisis if we all do not take responsibility. Considering we live in a globalised world, the future of the world’s economy is in jeopardy if we do not give tomorrow’s adults the ability to manage their own finances now,” said Mr Mudiwa,

“Since inception, the financial literacy campaign has focussed significantly on children and youths, and therefore, this World Savings Day commemoration has taken the same approach,” he added.

In commemoration of the important day more than 800 Stanbic Bank staff shed light on financial matters with people on the streets during the launch of the bank’s Lutanda Community Day. The aptly named campaign focused on educating members of the public on financial literacy and savings. The volunteers took time out of their normal routine this week to carry out the sessions reaching over 5,000 people including nurses, students, pupils, police officers, soldiers and many others.

“Lutanda means light and signifies the light we bring to our communities and difference we are making in the lives of Zambians. As a bank we believe in taking deliberate steps to make a difference in the communities we operate in,” said Mr Mudiwa.

This year’s theme, “A Better Life through Savings – Open your account now”, sought to encourage the public to adopt a culture of savings and ensure that levels of savings in relation to GDP are improved. The commemoration saw the coming together of various financial institutions to exhibit their products and services, specifically tailored towards the promotion of savings. Furthermore, a Money Box competition themed Coin-a-thon aimed at encouraging learners in schools to create attractive boxes, which they can then use to save money in their respective schools for capital projects, will be run by the financial institutions across the country.

Minister of Finance Hon. Felix Mutati visited the exhibition, which at the Cosmopolitan Mall in Lusaka.  Mr Mudiwa reiterated the banking industry’s readiness to work with the government in providing financial services and products, with the aim of scaling up financial inclusion for all, pledging to work together with the Ministry of Finance and the Bank of Zambia to come up with robust financial inclusion strategies that will help drive this agenda forward.

“The savings culture in Zambia has been relatively poor and can be attributed to a number of factors. It is very important for the public to understand why saving is important and to have knowledge about the different types of products and services, as regards savings and where to access them. In promoting the savings culture, financial institutions are encouraged to provide the accurate information about the various products and services they provide to their clients, as well as would-be clients. This in itself is a step in the right direction to ensure that everyone is provided with the much needed information in order to make informed decisions on saving,” said Mr Mudiwa.

Stanbic Bank staff shed light on financial literacy during Lutanda Community Day
Stanbic Bank staff shed light on financial literacy during Lutanda Community Day

7 COMMENTS

  1. Yah awe can morality and ethics be one of the criteria for appointing one as CEO, please check the record of this immoral foreigner with Stanchart Malawi…our ladies beware we know you are undressing left right and center for fear for your jobs with this chap…hiv/aids is real! shibukeni

  2. In order for people to save, first of all they need to earn….so give them jobs and they will start saving more according to your wish.

  3. This id.iot Mudiwa has NO senses at all. Youth unemployment is quite high in Zambia – so where does he think the young people will get the money to save when they are NOT working? How can a CEO of such a large bank be making such illogical statements?
    Instead, I would have expected him to avail a financial package for the Zambian Youths to access capital without capital – perhaps with guarantees. Mudiwa, please GO to hell or go and fool the Zimbabwean youths which is where you come from.

  4. This id.iot Mudiwa has NO senses at all. Youth unemployment is quite high in Zambia – so where does he think the young people will get the money to save when they are NOT working? How can a CEO of such a large bank be making such illo.gical statements?
    Instead, I would have expected him to avail a financial package for the Zambian Youths to access capital without capital – perhaps with guarantees. Mudiwa, please GO to hell or go and fo.ol the Zimbabwean youths which is where you come from.

  5. Lets not lose sight of the issue. Youths dont just need jobs to save. Zambians are just lazy and full of excuses when it comes to saving. Saving culture should start from nursery school. I had my first bank account at primary school. For any amount given for pocket money I would put some aside and when my parents saw that I had accumulated a bit, they added something on top and escorted me to open a bank account. At secondary school, we had House banks where you deposited money with the house master and withdrew only what you needed. Its all in in the mind. Start with your children instead of looking for excuses on their behalf. The same youths with no jobs are the same youths frequenting night clubs, drinking joints, cinema halls and shopping malls. where do they get the money? Let the…

  6. Comment:You need enough earnings to save, u can only save the excess. Can you save what you don’t have, no! Give us jobs and pay us well, we shall save.

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