FINANCIAL LITERACY TRAINING GIVES US COURAGE TO MANAGE SCARCE RESOURCES

 We live in a world of uncertainty. With the cuts in donor funding there is a lot of tension in the job world. If an organization informs us that they can no longer afford our services due to unstable funding then that is a tough situation to find ourselves in. Amidst the hard financial times, what can be done to make sure that society is financially resilient. Lack of resources can cause a strain on life because it causes a high dependence burden, children can drop out of school, there is an increase in crime as youths can resort to illegal means of surviving. During lock down there was an incident where 2 young men burnt themselves because they could not cope up with the cost of living. This means that absence of finances can cost a life.

The key question is during hard financial times, can we cope up with life? Do we have the courage to stand social pressure of high expectations? We live in a highly demanding society that despite the high cost of living and uncertainty there is a section of society that denies living in reality. I have interacted with many university students who despite having no steady source of income spend without a budget. Many have mortgaged their laptops and valuable property with loan sharks. They do not even negotiate the interest rates charged but their sole focus is to spend even the little that they have. This is a common trend in society and it needs to be addressed. Many youths make their financial decisions based on peer pressure. Little effort is made to plan for the wise use of the available resources. In fact there is a university student who confidently told me that he did not need financial mentorship since he was well connected.

The question is can one live on limited income and even use the scarce resources to widen their income base? We have a lesson that we can emulate from Indians. Indians are very frugal in their spending. An Indian can come to Uganda without capital but within one year they have a successful and sustainable business. Warren Buffet is one of the world's wealthiest entrepreneurs but he is frugal in his spending. We have a lesson to pick from him.

In the financial literacy trainings that I conduct I always inform trainees that each person has their individual personal journey. We must be intentional in building our financial mindsets so that even when financial calamities emerge we are not caught off guard. We need to build inner courage and set realistic financial goals which are relevant to our individual circumstances. We should not base our financial expectations on what society desires. This is because every person is unique. We also need to know that circumstances change and our financial situations can change for the better. If the likes of Oprah Winfrey can emerge out of poor families and become some of the wealthiest women in the world, then it gives us hope and courage that regardless of gender, education background and ethnicity each one of us has the potential to make wiser financial decisions. 

HOW TO BUILD COURAGE FOR WISE FINANCIAL DECISIONS

1.Think long term

2.Save as you earn

3.Seek financial mentorship 

4.Research before you invest

5.Learn from past mistakes 

6.Have a growth mindset

7. Set goals

8.Live within your means 

9.Make wise use of debt

10.Diffrentiate between needs and wants.


Finances are very critical for our survival. With a reduction in donor funding so many organizations have been severely affected. Jobs have been lost. This is not a good experience. Amidst this state of affairs, we have to survive. This is why financial literacy training is very important in building financially resilient societies as discussed above.

For individual and corporate financial literacy training, contact:

Phillip Kiryowa

Personal Finance Coach (CMA)

Master Trainer, Bank of Uganda

Founder, Advanced Empowerment Link

+256752615916

For Financial Freedom and Sustainable Enterprises

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