Consumers urged to save – even in hard times

By: Staff Reporter

While the Namibian economy is relatively resilient and inflation is at tolerable levels, the global economy conditions remain weak according to the Bank of Namibia (BON). The slow growth in the global economy has a negative impact on the Namibian economy, BON said at its latest Monetary Policy meeting, held on 24 April.

Considering these conditions, many may argue that it is close to impossible to save. “As Namibians, we tend to put savings as a last priority especially facing hard times. However, it remains vital to save, even when the going gets tough,” explains Erna Kaura, Manager of Liabilities at Standard Bank Namibia. In recent years the Namibian savings rate has been declining with some recovery in 2012 according to the Namibia Statistics Agency.
“We are now facing a low interest rate environment, which enables customers to use affordable credit facilities that may stimulate spending. However, clients must remember to start saving now while they have extra money in their pocket due to the low interest rates,” says Kaura. “Namibians must remember that the low interest rate environment will not continue indefinitely and now is the time to best make use of the opportunity to save,” she continues.
Statistics reveal that less than eight percent of the people who reach retirement age can afford to retire on their retirement savings. The other 92% will either live at a severely lower standard of living or be dependent on their families.  
Standard Bank Namibia has revealed that it offers savings accounts designed to suit customers lifestyles. The PlusPlan account allows consumers to earn while  saving. “It’s a savings and transactional account with a tiered interest rate structure that allows you to deposit and withdraw money whenever you need to. With PlusPlan you earn more interest as your balance grows,” explains Kaura.
The other savings option available at the bank is the PureSave account that is an easy, everyday card based account for transactions and savings needs. It is a savings account that gives customers the flexibility to save when you can and you have access to your funds when you need them
The PureSave account is simple to manage and allows customers to transact in the way that is most convenient for customers, from traditional, branch banking to using the electronic services.  
Standard Bank Namibia is part of the Standard Bank Group, Africa’s largest bank by assets. The Bank Group had total assets of N$1 549 billion (about US$183 billion) at 31 December 2012, while it’s market capitalisation was N$191billion (about US$23 billion).
For further information on these accounts and all saving options available at the bank, visit www.standardbank.com.na or visit our Twitter  (@standardbank.na) and Facebook (Standard Bank Namibia) pages.

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