'Savings Culture In Fiji Very Low’

Fiji’s saving culture has been described ‘very low’ by BSP Life Managing Director Michael Nacola.

Reflecting as an insurance provider on the National Financial Inclusion Task Force’s key objectives, Mr Nacola said advocacy on key financial products and its benefits was important.

The National Financial Inclusion Task Force was set up by the Reserve Bank of Fiji to share information to consumers to better understand the different types of financial services, products and its benefits.

“One of the issues that we face from the insurance operator side is people's awareness is low so we try to build as much advocacy around it and secondly, the savings culture in Fiji is still very low.”

Mr Nacola was speaking at the BSP Financial Group Media Forum where he highlighted the media’s key role in strengthening advocacy.

“Insurance products are still being developed and accessible but the starting point is understanding,” Mr Nacola said.

“That is an area we admit needs a bit more work to be done, not just by BSP Life, but by the insurance industry and that's where we need to partner with the media because you guys play an important role.”

He said it was often that consumers would worry about savings after a problem has happened.

This is a problem the insurance provider has identified as one of the issues faced in the industry.

“Put money aside, for fire insurance or maybe for your home and contents or with life insurance but it should start with ourselves.

“There are some other solutions like insurance where you can get money every three or five years, which can meet your short to medium term goals without running into the moneylender every time you have a problem.”

Mr Nacola added that BSP Life is looking at developing new innovative products targeted for the low-income brackets.

Story by: laiseana.nasiga@fijisun.com.fj