KAMPALA – Ugandans have been challenged to embrace a strong saving culture as a means of cushioning themselves for eventualities a precursor of economic transformation at household levels.
Goretti Masadde, the CEO, Uganda Institute of Banking and Financial Services told reporters in Kampala that much as the rate of savers in Uganda is increasing, the majority of Ugandans still save without a clear goal or aspirations which in the long run undermines the essence of saving.
Masadde was speaking at the launch of a yearlong campaign to increase the saving culture of Ugandans.
The drive is, led by the Uganda Institute of Banking (UIBFS) and Uganda Bankers Association (UBA) in conjunction with Bank of Uganda, member banks, financial sector regulatory bodies, and financial institutions will run under the theme, “Start Small, Grow Big; Be Green Smart”.
“While people wish to and endeavor to save, many times they don’t think they have enough to save. By embracing a green smart life one releases resources that can be saved, invested, and or stretched to cover more needs. i.e. make the shilling do more,” she said.
Quoting a recent Financial Capability Survey 2020, Masadde said only 21% of Uganda’s savers link their savings with specific goals.
“Aligning savings with specific goals optimizes the intended impact. The savings challenge will enable all interested persons across Uganda to start small, save consistently and grow their money so as to achieve specific goals. The challenge will run up to 31st October 2023. During this period one can save for emergencies, rent, school fees, TV, car, smartphone, investment, travel, leisure, etc. This is beyond the usual practice where the majority save only for consumption i.e. food, school fees, and medical,” she noted.
“Individuals wishing to participate in the Savings challenge are encouraged to fill in the Savings Challenge registration form at their respective banks / Institutions branches or visit the Institute Website (www. uibfs.or.ug) and yourmoneycan portal (www. yourmoneycan.or.ug) and fill in an online Savings challenge registration form.”
Participating savers can post a 30 second clip or a captioned image of their experience on email address: Savings Challenge@uib.or.ug or WhatsApp no. 078399733 or on other social media platforms i.e. Facebook The Uganda Institute of Banking and Financial Services, YouTube- Uibfs Kampala, Twitter @ibfsug, Linkedin_ Uganda Institute of Banking and Financial Services, Instagram – ibfs.ug and a panel of judges will review and select best stories that will win awards to be given out on a monthly basis, culminating with the World Savings Day Convention on 31st October 2023.
Dr. Patricia Amito, the head of Communications at Uganda Bankers Association (UBA) said encouraged savers to choose a Savings goal, attach a value to it determine how much and how often to save, and save with a regulated financial institution e.g. Commercial Banks, Credit Institutions, Micro Deposit Taking Institutions (MDIs), SACCOS, Insurance companies, retirement benefits schemes, Investment companies among others; since they are safest for accumulated savings.
“The savers can use savings groups, mobile money accounts, savings box or piggy bank to keep their money but these savings should be taken to regulated financial institutions from time to time once they accumulate. They can also save in an insurance product, Treasury bills, or Unitrusts.”
“Today, we have commenced the Institutional Savings Challenge where UIBFS, UBA, Bank of Uganda, member banks, financial sector regulatory bodies, and financial institutions and partners are going to save towards Financing a Green Youth / Women business or project. The savings are going to be deposited in a giant Piggy bank (Savings box) that will move within the different participating Institutions/banks for a specified period. At the end of the challenge, the Panel shall receive pitches from various Youth and Women Projects and select winners to be awarded at the 2023 World Savings Day Commemoration. In addition, the best-contributing institution will also be recognized.”
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