World Savings Day
Every year during the week surrounding 31 October, savings and responsible retail banks around the world commemorate World Savings Day/World Thrift Day. The day highlights the importance of consistently putting something aside in order to have a safety net to guard against risks from unexpected events and make it possible to achieve goals such as getting an education, owning a home, and starting a business.
World Savings Day was established as a day devoted to the promotion of “Savings” all over the World. Over decades, savings and responsible retail banks have undertaken efforts to encourage savings by making it easier to open an account, educating consumers about the importance of a formal savings account, and paying special interest to the promotion of savings in schools and among children. WSBI/ESBG members have been consistently at the forefront of these efforts. 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.
Importance of savings for the economy
The formal inclusion of savers in the financial system is important for a country’s general economic well-being. The funds deposited into savings accounts can also be utilized as credits to serve a growing economy. It is now widely accepted that increased access to financial services in general tends to be associated with better economic growth and more even income distribution, leading ultimately to greater social cohesion and poverty reduction.
In developing economies, the existence of a diversified financial system that serves the general population as well as higher income groups is a key pre-requisite for the alleviation of poverty, social and economic progress, and sustainable development. Unfortunately, poor people all over the world still lack sufficient access to proper financial services – including savings accounts.
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