In a bid to raise awareness and educate the public about the available savings options in the market, Jubilee Life Insurance CEO Kumar Sumit Gaurav emphasised the importance of cultivating a savings culture in Uganda. At the launch of the company’s new savings product, the Smart Save Plan, Mr Gaurav highlighted the numerous benefits of this innovative savings solution.
“The reasons to save for the future are well documented and further demonstrated by several cautionary tales all around us, though there’s still a need to address them regularly,” noted Mr Gaurav. His remarks come at a time when recent estimates by the Bank of Uganda reveal a concerning statistic: only about 3-5 per cent of the 18 million Ugandan workers save monthly. This is starkly contrasted with higher savings rates in neighbouring countries such as Kenya (23 per cent), Rwanda (18 per cent), and Tanzania (13 per cent).
Mr. Gaurav stressed the need for robust educational campaigns and the introduction of innovative solutions by financial sector players to address Uganda’s low savings culture. “Our new Jubilee Smart Save Plan is designed to empower our customers to meet crucial financial needs while offering a competitive return on investment. Whether it’s funding education, securing business capital, or purchasing a home, this solution will ensure that our customers’ savings work as hard for them as they do,” he explained.
In addition to promoting consistent saving habits, Mr Gaurav underscored the importance of guiding to help customers navigate the available solutions and opportunities in the market. “We acknowledge the need to offer personalized financial advice as we walk with our customers on their journey towards achieving their goals. We are committed to investing our efforts in empowering our customers in this regard. We are confident that a joint effort alongside other sector players will turn the tide of the savings culture in the country.”
Renowned financial literacy analyst Sharon Tumushabe echoed Mr. Gaurav’s sentiments, emphasizing the relevance of financial planning across different demographics. “Financial planning isn’t just about securing immediate needs; it’s about building a foundation for long-term stability and growth. If you have people who depend on you, their well-being and future security are paramount. By starting a structured savings plan, you ensure that, no matter what happens, they will have financial support,” advised Ms. Tumushabe. She added, “In financial planning, time is one of the most valuable assets. The earlier you start, the more you benefit from compound interest, and the larger your fund grows.”
Jubilee SMART SAVE stands out as an alternative to taking a loan for future expenses, offering customers the ability to build a fund while also providing protection coverage and flexible safeguards in case of the policy owner’s death. This innovative plan is set to play a crucial role in encouraging Ugandans to adopt a more disciplined and proactive approach to saving for their future.
As Jubilee Life and other sector players continue to push for a stronger savings culture, it is hoped that these efforts will lead to greater financial security and prosperity for all Ugandans.
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