The Central Bank and Rwanda Cooperative Agency (RCA) have embarked on a rigorous financial literacy campaign.
With the recent implementation of Umurenge Sacco, as well as access to finance forums, the campaign is expected to increase access to finance.
The Central bank expects to have 80 per cent of the population with access to finance by 2017.
Rwanda has eight commercial banks which cover only 14 per cent of the bankable population while Microfinance institutions and Saccos cater for 33 per cent.
Technically, 53 per cent is unbanked, an indication that many households are excluded from mainstream banking products while millions lack even the most basic financial products.
Access to finance forums and the financial literacy campaign will help mobilise and sensitise the population to join financial institutions, as well as offer the much needed education about the use and management of money.
Although investment alternatives are still few, our savings level is also low largely due to low financial illiteracy.
So, as the central bank and RCA seek to encourage homegrown savings to aid investments and sustain the country’s rapid economic growth, there is need to increase financial literacy relating to investments, wealth creation and sustainability, mainly among young adults.
Certainly, it is the responsibility of the Central bank and other relevant authorities to make sure that the Rwandan population is financially literate.
Rwanda requires a population that is financially involved and literate in order to meet its ambitious development goals. Financial education should be encouraged at early age in schools.