Tanzania, Savings and retail banks around the world are commemorating World Thrift Day on October 31. WSBI/ESBG (World Savings Banks Institute/European Savings Banks Group) members from numerous countries on many different continents will commemorate the day in a variety of ways.
Tanzania Postal Bank will be commemorating the day by launching to the Public a Promotional activity named “Shiriki,Shinda,Jiwezeshe”.The activity will enable customers who deposit any amount from Tzs.50,000/= win prizes both in cash as well as other items such as TV’s,Refrigirators,Bicycles etc.This activity aims at developing the savings culture of all Tanzania Postal Bank customers and the community at large.…
Alphonse Kihwele, CEO of Tanzania Postal Bank said “In the current financial turmoil, it is important to highlight the importance of consistently putting something aside in order to have a safety net to guard against risks from unexpected events and to make personal goals possible such as getting an education, owning a home, and starting a business.”
The initial concept of World Thrift Day was developed in order to be a day devoted to the promotion of “Savings” all over the World. Over the years, various organisations – especially savings and responsible retail banks – have undertaken efforts to encourage savings by developing posters, organising lectures and public events, publishing articles, and with advertising campaigns. Special interest has also been paid to the promotion of savings in schools and among children.
In recent years, there has been a shift among a number of stakeholders and policymakers from solely focusing on micro-credit to also emphasizing the benefits and the crucial role of savings as a core basic banking service.
Chris DE NOOSE, the Managing Director of WSBI/ESBG in Brussels noted that “setting aside small sums in a safe place allows people to guard against risks like illness, unemployment, other economic hardship, helps people to build assets, and provides opportunities to the next generation. Savings are also critical for a country’s general economic well-being as the funds can be utilized as credits to serve a growing economy.” Recent research has noted that, while access to micro-credit is important, access to general financial services such as savings accounts is also instrumental in alleviating poverty and stimulating economic growth. Of the estimated 1.4 billion accessible accounts existing at institutions across developing economies of the world with an explicit mission to foster access, some 1.1 billion are provided by savings banks. WSBI/ESBG and its members are constantly aiming to expand access to financial services and increase the number of savings accounts – especially among poorer populations.
Some activities which WSBI/ESBG members are planning surrounding World Thrift Day:
-WSBI is partnering with Friends of Europe/Development Policy Forum, will organize a Roundtable on “Innovative Financial Techniques for the Developing World”, on 5 November in Brussels.
-The Austrian Savings Banks Group (Österreichischer Sparkassenverband) will carry out a number of activities including marketing activities such as advertisements to commemorate the day and encourage savings, cultural events sponsored by the Savings Banks, large events with government leaders, educational activities with children about the importance of savings, and other activities.
-The Association of Italian Foundations and Savings Banks (ACRI) will host public events in Rome with the Italian Minister of Economy and Finance, and the Governor of the Bank of Italy.
-The Kenya Post Office Savings Bank will be working with the Kenyan Ministry of Finance to carry out a country-wide advertising and promotional campaign, including launching a new savings product and a small contest for people opening savings accounts.
-The German Savings Banks Association (DSGV) will be hold a public media event to discuss the role of savings and pensions on 27 October.
WSBI – The Global Voice of Savings and Retail Banking
WSBI (World Savings Banks Institute) is one of the largest international banking associations and the only global representative of savings and retail banking. Founded in 1924, it represents savings and retail banks and associations thereof in 92 countries of the world (Asia-Pacific, the Americas, Africa and Europe – via ESBG, the European Savings Banks Group). WSBI works closely with international financial institutions and donor agencies and facilitates the provision of access to financial sectors worldwide – be it in developing or developed regions. At the start of 2008, assets of member banks amounted to more than €10,000 billion, with operations through more than 191,000 branches and outlets.
WSBI members are typically savings and retail banks or associations thereof. They are often organized in decentralized networks and offer their services throughout their region. WSBI member banks have reinvested responsibly in their region for many decades and are one distinct benchmark for corporate social responsibility activities throughout the world.
For more information, please visit: www.savings-banks.com. For background information and research on this topic please see Perspectives 49, 52,53, 56, and 57 by going to www.wsbi.org – Publications – Perspectives Research.
Tanzania Postal Bank.
Soon after its creation in 1992,Tanzania Postal Bank took the task off canvassing the masses both in urban and rural areas. The bank’s objectives and functions are to mobilize local savings and to promote the savings habits of the population,to provide adequate and proper banking services and facilities throughout the country,to mobilize resources by accepting deposits, floating bonds, debenture and other monetary instruments, and to undertake any other functions performed by commercial banks.
The banks vision is “To be the Bank of choice for individuals, Micro, Small and Medium Enterprises” and its mission is “To provide customers with modern, affordable, tailor-made banking and other financial services.”The Bank has a range of savings product rich have been designed basing on market segmentation e.g. by the saving motive. Thus, whereas the savings accounts best-fit clients with precautionary motive, Save As You Earn(SAYE) is for those with transactionary motive. Those with speculative inclination are accessed to fixed deposits. The Bank has an agreement with Western Union Financial Services International for TPB to be an agent of Western Union Money Transfer (WUMT) services. The facility is becoming more popular as reflected in the growth of number of transactions and monetary value. Further to that, as part of its marketing strategy, the bank has maintained a low opening balance of Tshs. 20,000.00 for Savings account and SAYE and Tshs. 100,000.00 for Fixed Deposits.One of the bank’s focal points is customer outreach. This is achieved by maintaining a wide network of 27 branches in various regions.Also, TPB has an Agency Agreement with the Tanzania Posts Corporation (TPC). By that Agreement, the latter conducts the bank’s business through its nation wide network of 115 post offices spread across the country in both rural and urban areas.
