FINANCIAL LITERACY & PERSONAL DEVELOPMENT

 In a certain financial literacy training a trainee asked me for advice about his financial situation. He was over indebted for several years. Anyone can be in such a situation because we are all human.  From a financial literacy perspective the situation of the above employee requires analysis to understand what led to his predicament. The question is, what led to his outstanding debt? In my years of financial literacy training I have come to appreciate that solving financial issues requires empathy and patience in understanding the unique situation of every client. Since personal financial management is an emotional issue it requires individualized and specialized attention to the client's needs. With out adequate financial literacy training a client is bound to spend based on emotions and in most cases can make financial mistakes. For example without a good savings discipline a client will borrow for consumption and this triggers a debt cycle. In financial literacy training...

 It is the dream of every university graduate to get there dream job. It is not easy to graduate out of campus. So it is justifiable for one to look up to a decent job. While it is ideal is it that simple. With over  40 universities producing over 200,000 graduates per year amidst a job creation rate of about 70,000 jobs youth unemployment requires urgent attention from all stakeholders. The government and many other stakeholders are doing their best in their effort to combat the unemployment dilemma.  The social ills of youth unemployment can be felt in terms of increasing crime and greater search for green pastures. Though the situation seems overwhelming the Chinese say that where there is a crisis there is an equivalent opportunity. After being in the youth mentorship space for some time, I have observed that a key ingredient to combatting youth unemployment is intentional and deliberate personal growth. Amidst youth unemployment there are youths who have decided to e...

 In the national media yesterday(28th August 2024) the GROW project aimed at empowering women led businesses was launched. It emphasizes lending to women entrepreneurs at an affordable interest rate. I believe with the right execution it will leave a positive trajectory on women businesses. The emphasis of this article is to highlight the importance of business development services. The invisible forces that drive business growth seem to be under rated yet they are very critical. A business may have all the funds but without a clear strategic direction it may not see its first birth day. Uganda has been credited as one of the most entrepreneurial countries in the world. Despite this good news most of these businesses do not see their first birth day. So the question is what is the missing link? Apart from a tough economy what else can explain the reasons why Ugandan businesses struggle to break even. Why is subsistence agriculture prevalent in a generation of modern technology? Why...

 I listened to an audio about the beginnings of Enterprise Uganda which started in 2001. Today it has nurtured world class entrepreneurs such as Victorious schools and KinderCare. Mr Charles Ocici, the Executive Director gave numerous examples of ordinary citizens who came to the entrepreneurship trainings without any knowledge but today have several businesses. This message is very critical in an era where formal jobs are scarce( this is not good news to any graduate who has spent many years at university toiling but some times the truth sets you free). Even stakeholders doubted the impact that Enterprise Uganda would have but today the testimonies are overwhelming.  Every human being has infinite potential in them. Google started from a garage. Coca Cola started as an idea. KFC which is a global empire which was established by Colonel Sanders started during his retirement since he had a chicken recipe . His idea was rejected by different funders. Equity Bank which is a finan...

 How comes am not as successful as my colleagues was a question that I was asked by a certain  youth during a recent financial literacy talk at a certain university. This is one of the dominant questions that runs in the minds of most people ( even if they do not admit it publicly). The human mind is wired to compare with its circumstances. It is the desire of every human being to be better than they are and that is a noble aspiration. Dr. Myles Munroe noted that the ignorance of purpose leads to abuse of potential . Just recently in the news there is a man who admitted to having been part of the people who killed a prominent business man in town( this is an abuse of potential).Last year a suspected witch doctor was arrested for killing two innocent children in Kiboga District.  Without knowing our God given potential we are bound to abuse it . We have seen international musicians destroyed by drugs . In a nation that is predominantly youth, the message of potential and p...

 Education is one of the greatest gifts to humanity. The development of a nation is hinged on the quality of education that its citizens receive. I should commend the government and many other development partners for the tireless efforts in reforming the education system so that it matches the highly competitive and fast changing world. Statistics show that over 70% of Ugandans are below 30 years. This proves that education is a very demanded commodity in the years to come. There are many interpretations to education. What quality of education meets the needs of the fast changing world? I have met some university graduates who struggle or who can not write application letters for their jobs. The essence of this article is not to criticize the education system but to bring some reflections so that we can make improvements in a fast changing world. I have met many graduates who confess that the many of successful entrepreneurs in Kikuubo ( Kampala's business hub) never reached unive...

 It is the dream of every graduate to get their dream job. The truth is that it feels good to graduate and get your coveted academic transcript. I interact with so many young people in terms of mentorship and giving them advice on how to navigate the world. My observation is that very many youths have a lot of potential but they need guidance. I have also observed that in real life nothing comes by chance. We all need mentors regardless of age and experience. Let me ask a question, how come even presidents have various advisors? The nature of Uganda's education system has always emphasized "focusing on passing exams so as to display our brilliance" . The good news is that this is changing through education reforms  but it will take time to change the narrative. Why is this the case ? This is because if one spends over 20 years in a system that encourages them to pass and wait for success in the real world then it is too late. I have seen graduates stuck on looking for job...

 Uganda is officially dominated by young people. Over 50 %of the population are youths. With a high population the job market also shrinks yet people need to survive. It is the means of survival that create social pressure. The unemployment dilemma in the country can be dissected from different angles and each person or all stakeholders have a critical role to play.  Universities and other institutions of higher learning produce over 300,000 graduates per year. The job creation rate is about 70,000 jobs per year. This means that the job market is narrow. It is a common sight to see over 100 applicants for one job. This is a signal that something drastic must be done to change this trajectory. Development partners such as government, private sectors and donors such as Master Card Foundation are playing a critical role in addressing youth unemployment. In fact this suggests that fight against youth unemployment must be multifaceted.  During graduation season it is justifiab...

How fast can I get a loan from your financial institution is a question that I was asked by a certain youth Within this question there are several perspectives that can be analyzed. We live in a society that is skewed heavily on instant loans. As a financial literacy trainer I have observed that in the many villages that I have gone to. As a banker I support borrowing because good credit expands the economy since entrepreneurs are able to widen their scope of operations and employ other youths. Banking aims at promoting good loans because they signify safety of customer deposits. I have observed that many borrowers in the process of wanting to access instant loans neglect the following: The choice of financial institution The purpose of the loan The terms and conditions  The loan period The savings discipline Whether the business is formalized. Such parameters seem obvious but most of the loans go bad due to such issues. In order to develop the financial sector efforts should be pl...

 In a recent article in the New Vision on 12th August 2024, it was noted that 81.4% of Ugandans are below 35 years. They should not only be celebrated, but their challenges should be confronted and addressed. This speaks volumes about the fate of youths in Uganda and the world at large. The youthful age is one of the most critical stages in a person's life and if well guided they can turn into a blessing in the country. Most of the leaders that have shaped this nation were nurtured from childhood. It means the youths play a critical role in the foundation and prosperity of Uganda. If not well guided they can become a "curse". This is because they can divert their energy into unproductive activities. Just last year I saw a group of youths who wanted to beat up employees of a certain sports betting company in Bugiri District for failing to pay the money that they had been promised. In 2023 there was a video clip of a group of youths who during broad day light stole peoples...

 In a certain village I was informed that the residents were multiple borrowers and they borrow to repay loans and at a high interest rate. This situation requires attention because it has a spiral effect on the economy. For example if borrowers fail to pay bank loans it can cause a financial crisis. The financial crisis in 2008 was a result of the irresponsible use of debt. A bad debt is one where a borrower uses funds for consumption. . In a nation where over 50% of the population is young , responsible use of debt of vital. This is an age group that in most cases is wired to spend( we have all been there and these things are not taught in school).  Some of the questions to be asked before borrowing include:  1.The purpose of the loan 2.The interest rate 3.The terms and conditions 4.Loan period 5.The regulator of the institution where one borrows. HOW TO MAKE GOOD USE OF DEBT 1.Have a clear purpose for borrowing 2.Borrow from a regulated financial institution 3. Have a ...

 Uganda is officially a country full of young people. That is both good and bad news. It is good news because young people are characterized by drive and energy. The youthful age is the most productive in a person's life. While the country celebrates its young people, development partners such as the private sector and government are doing their best to overcome the unemployment dilemma. The government has crafted various programmes aimed at addressing the unemployment among the youth. This includes the Parish Development Model and changing of the education system to a competency based system. Despite the progress in addressing the youth unemployment challenge, there are still many hurdles being faced. This includes the high numbers of graduates per year from various universities competing for the limited number of jobs. It is said that universities produce over 300,000 graduates per year and these have to compete for about 70,000 jobs in the formal sector. The fact that also our e...

 A mosquito is small insect but causes a lot of havoc. In fact it spreads malaria which is one of the leading causes of death in the world. When we see a mosquito we undermine its size but the havoc it can cause is massive. What has this got to do with life? I have a privilege of meeting so many people especially youths in various financial literacy trainings. One observation that I make with a number of them is the lack of belief in themselves and their value. I have met graduates who have good degrees but they do not believe that they can make a difference. They wait for outside forces to give them permission. The question that I ask is if Nelson Mandela had waited for outside permission would he have become a world icon? If Mother Theresa had waited for permission would she have become a world icon? If the Wright Brothers had waited for permission would they have revolutionized the aviation industry? These examples should inform us that we may not need outside permission to make...

 Over 50% of Uganda's population is below 17 years according to the latest statistics from Uganda Bureau of Statistics. As a Youth Empowerment practitioner I often interact with young people who share with me the burden they face in accessing dignified employment opportunities. This dilemma and burden is shared by the different stakeholders such as government, the development partners and civil society.  I must commend the different stakeholders such as government and the private sector for doing a lot in empowering the youths to be agents of community transformation. A lot of skilling efforts are happening and this is a step in the right direction. The Directorate of Industrial Development (DIT) is doing a great job in ensuring that the youths are given professional certification with their practical skills. No nation can develop without young people being skilled. China and other Asian Tigers have developed because they strategically built cottage industries. Uganda is also ...