Only 32.5% of the Zambians have the knowledge about savings according to the latest financial survey, Securities and Exchange Commission (SEC) has revealed.
SEC Market Development officer Dingase Makumba said the statistics demonstrate the huge task that financial institutions have to impart financial knowledge among citizens.
Speaking during a Radio Programme at Choma Maanu Radio,Ms Makumba said her organisation is targeting the young in order to build the culture of financial management at an early age.
“We are targeting school going children because as you know if we build a culture of saving among young ones we are likely to have citizens who are knowledgeable with savings,” she says.
Three institutions namely the Securities and Exchange Commission (SEC), Pensions and Insurance Authority (PIA), and Bank of Zambia(BOZ) are the main financial regulators spearheading the Financial literacy week campaign.
Meanwhile speaking during the launch of the financial literacy week in Choma, Southern Province Permanent Secretary Kabanze Simuchoba appealed to financial institutions to reduce the interest rates so that many people including ordinary citizens can access the loans and other financial saving schemes.
In a speech read on his behalf by Provincial Deputy Permanent Secretary Douglas Ng’imbu,the Permanent Secretary expressed worry at the level of financial illiteracy among Zambians.
“You find that someone has worked for 30 years and after retiring he or she has no house. So it is very important for citizens to save for the future,” he said.
During the same function, a local entrepreneur Filly Malambo discouraged people from indulging in illicit money lending practice commonly known as “Kaloba”
Malambo, a representative of a youthful enterprise called Kings Centre Investment said young people should save for key life events such as marriage rather than running around to borrow when eventualities occur.
“Even when I was marrying I did not bother anyone. I paid my own dowry, why because I started saving at an early age. I mastered the art of saving while at school and here I am “he said.
This year’s financial literacy week is being held under the theme ‘Know and plan your finances to live a better life’