When people spend money on goods and services, it leads to increased job creation and employment, and that means more people with money to spend. Investments are financed from savings, so countries with higher savings rates have more capital to invest leading to higher GDP growth. Economies with a poor savings culture likely focus on short-term consumption over long-term investment, this can lead to slower or stalled economic growth. Chief Growth Officer for Halo Financial Services, Nnenna Onyewuchi, says, ‘savings improve the financial health of both the individual and the society. Building a better savings culture and channelling those savings into investment is a sure way to start.

Source: The North Africa Journal June 25, 2022 09:14 UTC