In celebration of its 30th anniversary and in anticipation of World Savings Day, the Trade and Development Bank (TDB) has launched the “Savings-Focused Mongolia” Campaign to enhance the financial literacy of its citizens. National savings play a critical role in bolstering a country’s economic resilience. Globally, countries like Switzerland, Sweden, and Germany lead in savings, with over 95% of their populations maintaining savings and allocating 8-10% of their income regularly towards it. Economically advanced nations prioritize financial education and emphasize the importance of savings. World Savings Day, observed annually on October 31, is a notable example of this effort.
In 2020, the global outbreak of the novel coronavirus significantly impacted public health and economic resilience worldwide. However, a study conducted in China revealed that increasing savings ranked third in importance compared to other investments during the pandemic. Notably, 30% of respondents reported actively boosting their savings. Similarly, a study in France on how COVID-19 affected savings behavior indicated that 53% of participants increased their savings compared to prior levels. These findings were highlighted in an interview by the Governor of the Bank of Mongolia, B. Lkhagvasuren.
Whether individuals save and regularly grow their savings is more closely linked to their level of financial literacy than their income level. According to the National Statistics Office, 76% of Mongolian households currently have no savings. In this context, the “Savings-Focused Mongolia” Campaign aims to teach children and youth the importance of financial responsibility, help citizens understand the value of savings, and guide them towards simple and practical methods for building savings.
As part of this initiative, TDB has introduced the Easy Savings Service, a product designed to enable customers to grow their savings without financial stress. This service allows individuals to automatically transfer a specific amount to their savings account without fees every time they make a withdrawal or deposit into their main account.
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