Global Money Week and Nigeria’s financial literacy goals
Strategic collaborations among stakeholders is key to driving improved financial literacy and performance
By Tosin Ayinde
For the avoidance of doubt, financial literacy, according to Investopedia, is the ability to understand and effectively use various financial skills, including personal financial management, and budgeting, among other financial services.
How does Nigeria rate in terms of financial literacy in spite of its high level of literacy and consumption of latest and cutting-edge technology by individuals and businesses? Data from Enhancing Financial Innovation and Access (EFInA), indicates that Nigeria’s financial inclusion rate grew to 64.1 percent in 2020 from 63.2 percent in 2018. However, it pointed out that the 2020 figure is below the Central Bank of Nigeria (CBN)’s 80 percent financial inclusion target for the year 2020.
As the world celebrates the annual Global Money Week, what came out strongly was the strategic collaborations among stakeholders geared towards scaling up Nigeria’s financial literacy.
The Nigerian Exchange Limited (NGX) and the Securities and Exchange Commission (SEC), this year, visibly supported the Central Bank of Nigeria (CBN) with a series of educational programmes and events aimed at elevating the level of financial literacy among children and youths to drive financial inclusion.
In line with this year’s theme, “Plan your money, plant your future”, the event kicked off yesterday, March 21, 2023 with a financial literacy talk which held in Lagos, featuring select secondary school students from across the country. Key issues raised and discussed include personal finance and investing, trading with technology on the stock market, and the role of regulation in the capital market. The week-long sensitisation programme is expected to end with a Closing Gong Ceremony, where the students will “Ring the Bell” for Global Money Week.
There’s also a Twitter Spaces session, supported by NGX , slated for Saturday, 25 March 2023 by 7:00pm to educate youths, including Millennials and Generation Zs, on responsible investing. This will focus on sustainable products in the capital market while also making the right financial decisions that consider the environment, society and economic growth.
Mr. Lamido Yuguda, DG, SEC, while speaking at the event, said the earlier children & youth learn about money saving, investment and budgeting, the better they will be able to manage their personal finances throughout their lives.
In his words, “This theme aims at raising awareness about the importance of adopting a responsible, informed and forward-looking approach in making financial decisions. It also recognises that future individual financial well-being is strictly linked to the health of the planet and the society as a whole.”
Speaking on the need for a more financially-literate Nigerian youth, Clifford Akpolo, Head, Marketing and Corporate Communications, NGX, said, “NGX, as the sustainable exchange championing Africa’s growth recognizes the potential of a financially literate youth population which is crucial to drivng economic development.” He stated that the Exchange places a high value on providing young people with the necessary resources to make informed financial decisions, and is also dedicated to supporting initiatives that promote sustainable spending habits and financial literacy. He added, ‘Our activities for the week have been structured to have optimal impact and reach thousands of young Nigerians, both online and offline.’
Other brands that supported CBN, SEC and NGX on its Global Money Week Initiatives include Miniemoney; Meristem Stockbrokers Limited and APT Securities Limited.
With more of this transformative initiative from financial stakeholders to raise the ante of financial literacy in a more innovative way that embraces youth inclusion, it’s undoubted that the financial sector is on its path to surpassing the CBN’s 80 percent inclusion target for the year in view.
