A. Support to the Financial Literacy and Consumer Education and Protection Campaign
SPEED Ghana actively supports the Consumer Education and Protection of Financial Literacy Campaign in collaboration with the Ministry of Finance and Economic Planning and other stake holders like GHAMFIN, Association of Rural Banks, ASSFIN and CUA.The financial literacy campaign is an awareness creation and education tool in respect of access to financial services. It targets both micro, small and medium enterprises and the financial institutions serving them. The campaign was launched on 27th November, 2007 in Accra.
Objectives of Consumer Education and Protection Campaign
- To create awareness and educate both the microfinance clients and microfinance institutions on access to financial services
- To create an environment for more transparency from microfinance institutions thereby minimizing the exiting mistrust among clients about the MFIs
- To promote responsible financial behavior and practices among micro and small entrepreneurs
Methods used in Consumer Education and Protection Campaign
- Distribution of posters, hand books and pocket guides containing information on financial literacy
- Conduct of road show using theatre plays
The Road Show
In the road show, financial behaviors among rural households and dramatized together with cultural dance performances. The core message communicated through the drama is "savings and responsible borrowing". The road show educates clients about their rights and obligations vis-a-vis financial institutions and enables them to take informed decisions on borrowing, saving and investment based on a sound knowledge of the benefits, costs and risks of financial products. Additionally, loan officers of micro finance institutions are sensitized about how to correctly treat their customers-especially those that have had no prior access to finance.
Since the lunch of the Consumer Education and Protection Campaign in November, 2007 SPEED and GHAMFIN have jointly conducted road shows in 8 regions namely, Central, Ashanti, Eastern, Northern, Upper East, Upper West, Brong Ahafo, and Greater Accra Regions. The road show has been conducted in 73 towns of the eight regions and total of 82 Microfinance institutions made up of 55 Rural and Community Banks, 22 Credit Unions and 6 financial NGO actively participated in the road show.
Impact of the road show among others includes the following:
- Enhanced bank's reputation and customer services
- Improved relationship between consumers and MFIS which understood the importance of a reliable and transparent customers service
- Increase client base ,saving deposits and thus improved liquidity situation
- Increase market share
- Increase customer confidence on the institution
- Improved customer care
- Improve bank's corporate image as MFIs were exposed to the public
- Improved loan repayment rate
B. Support Government Initiatives Ralated to Financial Litercy
- Facilitation in the development of the national strategy for financial literacy and consumer education
- Support the financial literacy week through:
Development of educational materials such as pocket guides, posters and booklets on the
- ABC of Savings
- ABC of Loans
- ABC of Insurance
- ABC of Investment