- Bank of Uganda reveals that only about 3-5% of the 18M Ugandan workers save every month
- Jubilee introduces Smart Save Plan
- Smart Save Plan designed to empower customers to meet crucial financial needs
Image: Wasswa Deo
Raising awareness and educating the public about the available savings options in the market is key to cultivating the savings culture in the country.
These remarks are made by Jubilee Life CEO Kumar Summit Gaurav on 26th June during the launch of the company’s Smart Save Plan, a savings product with numerous inbuilt benefits.
Mr. Gaurav noted that the reasons to save for the future are well documented and further demonstrated by several cautionary tales all around us, though there’s still a need to regularly address them.
Recent estimates by the Bank of Uganda reveal that only about 3-5% of the 18M Ugandan workers save every month. With Kenya’s saving rate at 23%, Rwanda at 18%, and Tanzania at 13%, Uganda’s situation looks all the more precarious.
Addressing Uganda's low savings culture requires the deployment of robust educational campaigns and the introduction of innovative solutions from players in the financial sector.
“Our new Jubilee Smart Save Plan is designed to empower our customers to meet crucial financial needs while offering a competitive return on investment. Whether it's funding education, securing business capital, or purchasing a home, this solution will ensure that our customers' savings work as hard for them as they do,” said Mr. Gaurav.
Besides inculcating a consistent saving discipline, customers also need guidance to navigate the available solutions and opportunities in the market.
“We acknowledge the need to offer personalized financial advice as we walk with our customers on their journey towards achieving their goals. We are committed to investing our efforts in empowering our customers in this regard. We are confident that a joint effort alongside other sector players will turn the tide of the savings culture in the country.”
Augmenting Mr. Gaurav’s viewpoint, renowned finance literacy analyst Sharon Tumushabe noted that the financial planning conversation is relevant to people across different demographics, regardless of where they are in life.
“Financial planning isn't just about securing immediate needs; it's about building a foundation for long-term stability and growth. If you have people who depend on you, their well-being and future security are paramount. By starting a structured savings plan, you ensure that, no matter what happens, they will have financial support,” Ms Tumushabe advised, adding that; “In financial planning, time is one of the most valuable assets. The earlier you start, the more you benefit from compound interest, and the larger your fund grows.”
In contrast to taking a loan to cater to future expenses, Jubilee SMART SAVE enables you to build a fund, has a protection cover, and offers various flexible safeguards in case of the death of the policy owner.