- Problem. Informal saving is seen as risky and unproductive.
To make personal saving safer and more progressive, Finance minister Matia Kasaija has advised Ugandans to stop saving money under their mattresses because it is risky and not productive.
“There are many financial institutions in the country; Ugandans should stop keeping their money under the mattresses, save your money in the banks,” Mr Kasaija said.
Mr Kasaija added: “A bank is a safe place to keep your money. It is safer than keeping lots of cash in your house, which might get lost or stolen. It is also a good way to save money for the future. Technology has made things easier for people to save money in banks.”
Mr Kasaija, was presiding over the award giving ceremony hosted by Citi bank in and the Association of Microfinance Institutions of Uganda (AMFIU) to recognize the best micro entrepreneurs in Kampala last week.
He said most rich people got there through hard work, smart savings and investment decisions.
The minister also told micro-entrepreneurs that for them to grow their businesses, they have to have the four distinctive characteristics.
“You have to create an idea for something that you want to do; be persistence in what you are doing and do it well; remain focused. So with little savings over time, you get the money that you need,” he advised the micro-entrepreneurs.
Noting that the problem with the youth in Uganda is wanting to become big fast, Mr Kasaija said: “Please grow slowly and then become big later. We cannot begin big, you have to start small.”
He said all the 24 people who won the award started small but have since expanded their enterprises and are employing people.