Reserve Bank of Malawi (RBM) has urged people in the country to embrace financial saving culture for the betterment of their oncoming days.
Bank’s governor, Dr. Wilson Banda, made the call today during launch of Saving Awareness Week, which will run up until Friday this week.
Banda said the week is being launched on sidelines that a lot of people are not aware of better ways of saving money hence they are exposed to unnecessary expenditures prior to their future.
“Investment depends on savings which means the amount of money we are going to invest will depend on amount of money that people save. Our savings rates are very low translating to low investment”, says Dr. Banda.
He says saving helps in future giving example of one’s job retirement time.
“We need to have savings as remedy. For the time we retire we need to have money. Today we have pension that is mandatory but pension also need money for the remedy.
“We are talking of things like funerals, school fees and many more”, he added.
The launch was attended by various financial institutions that promote saving culture among people that include Bankers Association of Malawi, Capital Markets Association and Malawi Stock Exchange.
In their remarks, Bankers Association of Malawi Executive Director, Lyness Nkungula and Malawi Stock Exchange Chief Executive Officer, John Kamanga conquered with Banda describing saving ideal for one’s future.
Nkungula says saving money with banks is more reliable and secure adding that the facilities favor people of all kind.
“Saving money in banks is essential for everyone. Talking of women, men, those with disabilities and many more”, she added.
On the other hand, Kamanga urged people to seek profession saving advice if they are not good at that for goodness of their future.
“we have to raise awareness to the general public of products that are available in the capital markets as you know the products which are available are shares of various listed companies as well as government bonds”, says Kamanga.
He adds, “In so doing we will be in position to stimulate interest and this will foster desire and encourage action such that the Malawian public should be in a position to participate these products”.
During the launch, some companies including Mudi SACCO, Capital Markets Association, Project Innovation Centre, Old Mutual Malawi and Insurance Association of Malawi have been recognized for their outstanding performance in promoting savings culture.
The awareness week is being held under the theme ‘Save today-live better tomorrow’.