Group urges govt to educate Nigerians on savings in post-COVID-19 economy

Consumer Awareness and Financial Enlightenment Initiative (CAFEi) has urged the government to take seriously the issue of financial literacy and inclusion during post-COVID-19 by educating Nigerians on the importance of savings.

The President of CAFEi, Mrs Debola Osibogun made the call in Lagos on Tuesday.

Osibogun said that Financial Literacy was paid less attention to, than Financial Inclusion in the pre-COVID-19 era, hence, the need to take it seriously for sustainable growth and development.

According to her, the pandemic is generating an unprecedented global health crisis which in turn has critical implications on the financial system both in content and context.

“The COVID-19 pandemic has brought key financial literacy issues such as savings, taxation, access to credit and use of digital platforms back as topical and germane for debates and implementation.

“Somehow during the current pandemic, majority of households that were unable to save were lucky and able to rely on food banks and generous donors of palliatives to survive.

“The next emergency may be worse and so there is a need for proper re-orientation and education on the importance of savings.

“The COVID-19 experience has taught us that we must now prioritise our spending and save more for an uncertain future,” Osibogun said in a statement.

ALSO READ:2022: Maintain zoning to sustain development in Anambra, aspirant urges PDP

She said that the effect of the pandemic had put a strain on government sources of revenue as was evident in the decline in crude oil prices.

According to her, the government is likely to take issues such as taxation more seriously as it seeks to diversify its revenue base from crude oil.

The CAFEi boss also advised the government to give taxation as a financial literacy issue, a refocused post-COVID-19 to understand their obligations and expectations from government.

Osibogun also said that there was the need for government to make credit easy and accessible to small businesses as the engine room of the economy but majority of them were struggling.

She said: “The directive given by the Central Bank of Nigeria (CBN) to increase Loan Deposit Ratio of Banks to 65 per cent has increased the opportunity to lend to SMEs and in turn save the economy.

“Small businesses, therefore, need to understand terms and conditions on credit contracts and also when to and when not to borrow,” Osibogun said.

She called on the government to create more awareness and educate them about their obligations, expectations and avenues for dispute resolution in loan agreements.

Osibogun also said that another key aspect of financial literacy that needed more consciousness was the importance of familiarising with alternative means of banking.

She said that the closure of banks during the pandemic and the hesitation to use cash because of its capacity to serve as a form of virus transmission brought to the fore the importance of using an alternative mode of banking like online banking and mobile banking.

She recalled that First Bank recorded in the first week of the lockdown 38.5 million transactions from alternative modes of banking.

According to her, this is an indication that the future lies in the alternative mode of banking.

(NAN)

 

YOU SHOULD NOT MISS THESE HEADLINES FROM NIGERIAN TRIBUNE

Buy and read digital replicas of your TRIBUNE titles by subscribing through E-VENDING

COVID-19: INEC Mulls E-Voting
The Independent National Electoral Commission (INEC) has expressed its determination to deepen the use of technology in the electoral process amid the coronavirus pandemic. The commission made the disclosure in its document made available to newsmen, “Policy on Conducting Elections… Read full story

Kaduna Govt Will Jail Parents Who Enrol Children Into Almajiri System ― El-Rufai
Governor Nasir el-Rufai of Kaduna State has warned that parents who enrol their children into the Almajiri education system stand the risk of prosecution and up to two years jail. El-Rufai stated this, in Kaduna on Monday, when he visited some 200 Almajiri children repatriated from Nasarawa State and undergoing… Read full story

INEC To Redesign Polling Units To Comply With COVID-19 Regulations
Amidst COVID-19, the Independent National Electoral Commission (INEC) has said that Polling Units shall be redesigned by the Commission to ensure substantial compliance with the COVID-19 protocols established by health authorities… Read full story

WHO Suspends Trial Of Hydroxychloroquine As COVID-19 Treatment Over Safety Concerns
The World Health Organisation (WHO) on Monday announced a temporary suspension of the trial of hydroxychloroquine for treatment of coronavirus patient. The suspension of the trial, it said, was due to a higher mortality rate among patients receiving the drug… Read full story

You might also like
Comments

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. AcceptRead More