When the world celebrates the Savings Day on 31 October this year, Burundians find it difficult to make ends meet and can hardly make savings. However, financial institutions called on them to save the little money they have.
Bernard Kinyata: “Adult people who have opened accounts in financial institutions are approximately estimated at 24%.”
“It’s impossible to make savings when we hardly succeed to cover all the family expenses,” says a teacher of five children met in the capital Bujumbura. He says it is very difficult to make ends meet during the whole month and make some savings.
“My salary doesn’t exceed BIF 270,000 per month. When I pay the house rent, I remain with the little money which cannot cover the monthly expenses of my family,” he says adding that his spouse helps him feed his children.
Another civil servant says she prefers to make savings through a tontine instead of using the financial institutions. “I contribute BIF 20,000 per month and each member of the group is regularly paid without considering the interest rate,” he says.
Bernard Kinyata, chairman of the Board of Network of Microfinance Institutions-RIM, says adult people who have accounts in financial institutions are approximately estimated at 24%. He says he refers to the last survey conducted by Burundi Central Bank which reveals that the financial inclusion was estimated at 12, 5%.
For him, there is a still long way to go to increase the people’s awareness of the importance of savings both for modern economies and individuals. “Burundians must open accounts in microfinance institutions, banks and other formal institutions for their own interest,” he says.
Kinyata reminds that saving is prevention of unpredictable and predictable events and prevention of difficult times for retired people.
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