Financial education should start from childhood

Teaching children about the value of money and importance of healthy financial management would improve their quality of life, says business consultant Vusi Jamal. He spoke to The Midweek Sun following the launch of his book ‘The Making of A Teen Entrepreneur,’ which he wrote with entrepreneur Moemedi Senwelo. Jamal noted that lessons and values instilled in children stuck with them for the rest of their lives. He and Senwelo decided to write the book after being booked to present on financial management to children. “There was no reference material for Botswana. Most of the books are from outside. We decided to write this book with case studies that are relevant to the Botswana society,” he said. Several statistics conducted by government and financial institutions have indicated that a great number of Batswana are swimming in debt and are a meal away from poverty. Jamal said that some people were preoccupied with instant gratification as opposed to investing in long-term wealth and success. “We are a materialistic society and those things are okay if you can afford them but sometimes you have to think and wonder how something will add value to your life. “If you value it that much then invest time into creating the abundance.” He said many people did not save for a rainy day as they generally did not plan for their future as they are focused on the now.Jamal said lack of financial education was one the reason that many people went “crazy” when they get money and overspend and even wind up in never ending debts that they struggle to pay off. “For example, some young people get funded for business projects but instead of investing in the venture they go on spending sprees. Even at tertiary institutions you find that young people spend their allowance on alcohol and clothes instead of saving. “We need to teach young people to avoid being myopic and prioritise important things that will benefit them in the long-term.”