By Sidney Kawimbe
Many Zambians are affected by the present economy. The prices of commodities are climbing yet salaries and wages remain stagnant. With GDP annual growth rate expected drop from the current 3.7% to a paltry 2%, it is important for Zambians to develop some habits discussed in this article so that they can cope with the current situation till things get better. Below are some ways to reduce spending so you can survive and avoid running into debt.
1.Map Out Your Financial Plans
Many find themselves in a financial mess because of the failure to draft out a proper spending plan. If you have a clear vision of what you want to achieve financially, what you want to spend and what you want to save, it is easier to maintain a particular budget and not get carried away by unnecessary spending.
2.Learn to Save
No matter what you earn, be sure to dedicate a particular percentage to normal savings, as well as an emergency fund that you can fall back on in case of sudden events like loss of job.
3.Go Out Less
Most people spend a fortune on going out, watching movies at cinemas, hanging out with friends and buying impulsively. Steer clear of friends or female folks that only drag you out to spend lavishly. Learn to say no to them. If you can find ways to limit the way you go out, you will be saving yourself a great deal of money.
Because everyone is struggling and cash is hard to come by, the rate of borrowing is usually high during harsh economic times. As such, it is important you avoid lending money to people because the likelihood that you will be refunded is very low.
5.Diversify Your Income Sources
A single source of income, say salary is definitely not adequate at the moment. In fact, it is biblical. King Solomon writing in Ecclesiastes 11:2 commanded us. “Invest in seven ventures, yes, in eight; you do not know what disaster may come upon the land.”
The Author is An Entrepreneurship Trainer