The Central Bank of Nigeria, CBN, on Wednesday restated government’s commitment to reducing financial exclusion rates from 46.3 per cent in 2011 to 20 per cent by the year 2020.
This implies that by the year 2020, at least 80 per cent of the nation’s population would have affordable and unhindered access to financial products and services such as savings, insurance and payment and pensions, amongst others.
The CBN Governor, Mr. Godwin Emefiele, disclosed this in a keynote address delivered at the Child and Youth Financial Literacy Summit organized in Abuja to commemorate the 2015 Global Money Week, pointed out that the move was in furtherance of the decisions of the Maya Declaration of which Nigeria is a signatory.
Emefiele explained that one of the critical components of the National Financial Inclusion Strategy launched by the present administration in October 2012 to enhance financial education in the country, was the promotion of financial literacy and capability.
The CBN boss however, said that the strategy was based on the understanding that it is by empowering Nigerians with the right financial knowledge and skills that they would have the confidence to participate in the formal financial system.
This capacity, he explained, would enable them to effectively contribute to the stability of the nation’s financial system and also impact positively on the economic well- being of the people.
The apex bank chief explained further that in the implementation of the financial inclusion strategy, a financial literacy framework which articulates a strategic direction for a multi stakeholder approach to the delivery of financial education programmes across various target groups in the economy, had been developed.
The Governor said: “The framework has the primary objective of increasing the level of awareness and understanding of financial products and services, enhancing the efficient usage of financial resources and empowering Nigerians with the knowledge and skills to make informed choices and take effective actions that would enhance their financial standing”.
He explained that the nation must not only increase the financial capability of those that are vulnerable and marginalised in the society, such as children and youths but it is a collective responsibility to enhance the consciousness of their social and economic rights as well as improve their access to financial services appropriate to their needs, peculiar circumstances, to support them in building and accumulation of assets to secure their future.
He said that the Nigerian financial literacy initiative, which specifically targets children and youth, was an integral part of the bank’s commitment to improve their financial inclusion on a sustainable basis.
Financial inclusion is the provision of a broad range of high quality financial products and services such as savings, insurance, payment and pensions, which are relevant and affordable for the citizens of a country, particularly those in the low income segment of the population. – National Mirror.
