Getting a short loan a decade ago meant privately talking to a close friend to help you out. Social capital was at stake and most people were keen not to default and risk embarrassment in their social circles. A shylock was also an option if you needed a large amount desperately and couldn’t get it […]
Category: Financial Literacy
Consumerism, clutter and your financial health
We are living in times where we are exposed to hundreds and thousands of ‘peers’ instantly on social media. These are people in different countries, cultures and with different financial obligations and resources. Some of them are influencers. Hired to mention or showcase a product to boost sales, others are your high school mates. Majority […]
Hyped investment options? Think twice
What is the buzz or unicorn investment you have heard about lately – IPO? Bitcoin? Real estate? Quail farming? Take a step back and do your research. Seek professional advice and don’t be too quick to be an early adopter of a market/ industry or an investment that is being hyped. We are living in […]
The risk of raising financially illiterate children
According to OECD, financial literacy is a combination of financial awareness, skills, attitudes and behaviors necessary to make sound financial decisions and ultimately achieve financial wellbeing. The joy of a parent is being able to provide for the needs of their children. The cost of raising children is at an all-time high and this largely […]
Why is BoP excited about gambling and not insurance?
Last year, we participated in a financial inclusion summit – Seamless 2018 – to share on how we can use financial literacy to accelerate financial inclusion at the bottom of the pyramid (BoP). Mostly, the first thing that comes to mind when we think of people not embracing financial products is lack of resources. People […]
Peer learning key to financial literacy at BoP
Jane* a 36 year old mother of two lives in a rural town in Central Kenya on an eighth of an acre. She farms coffee beans for sale. Depending with the season, she plants either maize, beans or potatoes just enough for consumption at home. She also does casual jobs in the neighbourhood where the […]
The lure of consumer debt for the young working class
A few years ago, most of us had ‘informal creditors’ amongst our friends. These were people we would call at odd hours for ‘Mpesa’ and in five minutes they would send the cash. No judgement or questions on why you need the money and due to mutual respect, they would not soil your reputation by […]
Impact of Financial Literacy in optimising Financial Inclusion
92% of Malaysia’s adult population had active deposit accounts as at end of 2015 allowing them to save, transact and access cash using electronic channels available nation wide. This is in proportion to Financial literacy levels in the country. In addition, more than 70% of Malaysia’s adults in the labor force are account holders of […]
Cultural Artefacts barring Financial Inclusion
In any society, there’s shared history that evolves into a culture. A community’s culture can propel or hinder financial inclusion depending on the beliefs that locals hold on to and their willingness to learn or change the narrative.The power of culture comes about through the fact that the assumptions are shared and, mutually reinforced. One […]
Financial Literacy: Leveraging on Social Habits
Estimates indicate that 2.3 billion working age adults do not have an account at a formal financial institution. One of the main barriers to financial inclusion for this group is financial illiteracy and low trust levels due to lack of information on the financial products. According to the World Bank, financial access facilitates day-to-day living, […]