When people can take part in the financial systems, they’re better able to start and expand businesses, spend money on their children’s education, and absorb financial shocks.
Sub-Saharan Africa features a population with most lives staying at the economic downstream, and most likely underdeveloped. The financial inclusion gender gap and income gap persisting just like in other continents, though higher in Sub-Saharan Africa. World Population estimates on the basis of the latest estimates released on June 21, 2017, by the United Nations, shows Africa continues as the second largest continent with a population of 1,256,268,025 (16% of the people of the world) and by the end of January 2018, 40.2% surviving in urban areas.
The continent has the greatest fertility rate of 4.7% (Oceania 2.4%, Asia 2.2%, Latin American and Caribbean 2.1%, Northern America 1.9% and Europe 1.6%) compared to the other continents with an annually population rate change (increase) of 2.55% – the greatest among all continents. Most of its people (59.8%) have lived downstream (rural areas and villages) sometimes out from the mainstream economy.Prescott Financial Advisors Policy targeting could possibly be difficult in such scenarios, and identifying individuals who lack access to financial and economic inclusion comes with a huge financial cost by itself, although the benefit in this outweighs the fee in mere numbers and requires commitment from leaders and managers of the respective economies. In conjunction with a universal phenomenon of non-perfect, untrusted, and in some cases non-existing data on the continent, that could make decision making imperfect and data unreliable, affecting plans, policies and the potencies to resolve stated challenges or improving the economic and social fibre of countries.
The struggles of the financially excluded come from barriers and reasons as access, social and cultural factors, income, education and many possible lists of others. Financial exclusion arguably is one of the reasons some economic policies lack potency to effectively target well on the citizenry with its results in persistent poverty and inequality. Lack of access to basic needs as an account either at the bank or mobile money could mean significant possibilities of opportunities untapped. Globally countries have realized the importance of achieving inclusive societies and supports efforts at maximizing financial inclusion. Sub- Saharan Africa has made some strides over time in financial and economic inclusion in this regard at individual country levels.
Earlier in 2010 and shortly before I surrendered my Financial Services Authority permission to supply financial advice I met Bruce and Theresa, my long standing clients of some thirty years. The meeting was arranged to state farewell and to close our professional (but not social) relationship, and to finalise their plans due to their retirement.
The meeting lasted for a lot of the day, and whilst their finances were on the agenda and were dealt with, much of the meeting revolved around how they certainly were going to call home in retirement, what they may and have to do, how they certainly were going to maintain family ties, decisions about their house and the majority of areas of life in retirement. We also covered their relationship with money, dealing specifically with how to improve their working life attitude of saving and prudence to finding the courage to pay their time and money on making probably the most of their lives in retirement. Whilst I surely could demonstrate mathematically that their income and assets were more than sufficient to allow them to call home a fulfilled life in retirement, we’d to manage some deep emotional blocks to spending, specifically driving a car that they’d run out of money.
The financial markets sector is one important section of public concern in Africa. The requirement for adequate regulation and supervision of Financial Markets being an important mechanism for the promotion of economic development in African countries cannot be overemphasized. Financial markets regulation remains a really sensitive and complex activity in regards to governmental policy development, with relation to defining strategic options related to financial regulation. This informative article reviews the present status of financial farkets, the legal and regulatory frameworks in the Southern African region, with a unique concentrate on selected countries.
The topic under investigation pertains to the regulation of financial markets by governments within the Southern African countries both at national and international levels. It attempts to know its rationale, objectives, approaches and the practical methods for defining a regulatory framework for a contemporary African financial market and system. At the same time many experts are calling for liberalization of financial services in Africa, it is important to analyze what’re the rationale, advantages and implications of financial markets regulation for Southern African countries under the light of new international instruments and standards, such as the Basle II Framework and the WTO Agreement on Financial Services of 1994, whose operational modalities are continues to be under negotiations on various key aspects.
This paper attempts to examine the institutional and regulatory framework for the financial markets operations in order to understand the underlying principles of financial markets regulation development; to produce a concise outline of financial markets regulation framework within the South African countries; and provide as much as possible an obvious knowledge of policy development, key issues and challenges concerning the regulation of financial markets in the Southern African region.
The terminology utilized in the financial markets jargon is considered to be highly technical and can some times be confusing. While we attempt to help keep a low technical language during this paper, it’s quite impossible to avoid the specific concepts utilized in the financial profession. For many key concepts, a concise glossary of a lot of the technical words is provided at request by the author.