June 2013

Newsletter For The KwaZulu-Natal Financial Literacy Association

wasKwaZulu-Natal Finance MEC Ina Cronjeacutersquosrecommendation at the Expert Subgroup meetingon Empowering Women through FinancialAwareness and Education at the CongressCentre of the Czech National Bank in PragueCzech Republic ldquoMentorship is extremelyimportant in helping women on their journey toindependence and self-realisationrdquo Citing theexample of women co-operatives in the KZNschool feeding scheme she mentioned howgroups that received support and mentoringfrom district officials were flourishing whileothers without that support were not assuccessfulMEC Cronjeacute is one of four members of thissubgroup of the International Network forFinancial Education (INFE) administered bythe Organisation for Economic Co-operationand Development (OECD) The subgroupadvises countries on the upliftment of womenthrough financial education and makesrecommendations to the G20 Finance Ministersand Central Bank GovernorsSharing some success stories of women who arebenefiting from the Zimele DevelopingCommunity Self Reliance project in KwaZulu-Natal the MEC told the audience how financialeducation and mentorship coupled with a strongemotional support system has changed not onlythe financial well-being of the women but alsolifted their self-esteem She explained that Zimelemeans to lsquostand on your own two feetrsquo in Zuluand that is indeed what these women are nowdoing

Also quoting research from a second case study ldquoHow do savings groups support enterprisedevelopment especially in agriculturerdquo conducted by the Finmark Trust and Genesis on SaveAct (anNGO) beneficiaries in Bergville and Matatiele Ms Cronjeacute pointed out how the savings of the SelfHelp Groups have provided them with access funds to start and develop their small enterprisesfurther grow their savings and investment and build agency and further social capitalBoth Zimele and SaveAct are members of the KwaZulu-Natal Financial Literacy Associationchampioned by MEC Cronjeacute ( )

were some of the topics discussed at TheSecond Child and Youth Finance AnnualSummit amp Award Ceremony hosted byChild Youth Financial International inpartnership with the Capital MarketsBoard of Turkey and Borsa Istanbul (StockExchange)About 108 children aged 8-18 from over40 countries met in Istanbul to attend theChild and Youth Meeting and Summit from6 - 9 May in Istanbul During their firstactivity the youngsters broke the ice bydrawing a ldquowhorsquos whordquo board sharingtheir backgrounds and why they wereattending the Summit They took part in afun activity to discuss different currenciesand discover how these have changedthroughout history The children wereencouraged to set up their financial longterm and short term goals

4

Artwell Hlengwa

Mark Brassell

Lindani Dhlomo

Sipho Ntombela

Christi Naudeacute

Lyndwill Clarke

Neo Shabalala

Shekhar Mahabeer

Vacant

Ntokozo ZikalalaCalvin Singh

Ginger Bester

Bongi Sishi

Sanjay Rabichand

Rosetta StanderAnton Krone

Artwell Hlengwa

Mark Brassell Lindani Dhlomo

Newsletter For The KwaZulu-Natal Financial Literacy Association

Ms Christi Naudeacute

Tel No (+27) (0) 33 8466985

Cell (+27) (0) 82 8610114

Fax (+27) (0) 33 84668012

christinaudekzntreasurygovza

Ms Ntokozo Zikalala

Tel No (+27) (0) 33 8466977

Cell (+27) (0) 835434265

Fax (+27) (0) 33 84668012

ntokozozikalalakzntreasurygovza

Mr Sipho Ntombela

Tel No (+27) (0) 33 8466979

Cell (+27) (0) 738980636

Fax (+27) (0) 33 84668012

davidntombelakzntreasurygovza

This publication has been designed and produced by the KZNFLACo-ordinator Office of the MEC for Finance

Read more about our activities and our partnersrsquoexciting projects and research studies onhttpwwwkzntreasurygovzaMECOfficeKZNFinLiteracyAssociationaspx

The successes of these two entities have resulted in the Office of the Premier providing funding toexpand the Zimele project while the Provincial Treasury through the Office of the MEC willpartner with SaveAct doing pilot studies on Financial Education for domestic workers women andgirls in informal settlements and people with disabilitiesThe MEC also recommended international research measuring the impact of empowering womenthrough financial education on economic growth since there is very little if any informationavailable on this topic She intends doing the same in KwaZulu-Natal which research findings willbe made available to the proposed international studyOur government takes financial education seriously as we see it as one of the ways to address the

challenges of poverty and unemployment which further exacerbates inequalityrdquo said MEC Cronjeacute inher contribution to the International Network for Financial Education (INFE) meeting attended byrepresentatives of 50 countries on 15 May 2013She shared KZNrsquos model of a public private partnership established through the KZN FinancialLiteracy Association and emphasised the importance of working together to achieve financialwellbeing for citizensThe subgroup and INFE meetings were held back to back with the CZECH REPUBLIC-OECDCONFERENCE ON FINANCIAL EDUCATION co-organised by the Organisation for EconomicCo-operation and Development (OECD) and the Czech National Bank (CNB) in co-operation withthe Ministry of Finance of the Czech Republic

This was Ina Cronjeacute KZNFinance MECrsquos message on 7 June 2013 whenthe Johannesburg Stock Exchange (JSE) partneredwith the KwaZulu-Natal Financial LiteracyAssociation in Esikhawini at Umfolozi FET Collegenear EmpangeniHigh school learners university students youngentrepreneurs and other young people attendedthe National Youth Finance Summit learningabout planning for financial health a healthycredit status and maintaining healthy financialhabits diversifing investment portfolio usingExchange Traded Products and attaining financialfreedom Statistics released by the Banking Asso-ciation shows that approximately 70 of adultSouth Africans do not save Youth make up 52of the total population therefore behaviouralchange of the youth has to be influenced from anearly age

KwaZulu-Natal took the lead by being the firstSouth African province to participate in theinitiative which has been running for thesecond year The KwaZulu-Natal FinancialLiteracy Association the Banking Association ofSouth Africa Young Girls Network ABSANedbank and Embo joined forces to put anexciting programme together includingo Children of KZN participating in a Webinarinterviewing Marc Birchler head of the UnitedNations Capital Development Fund (UNCDF)the director of the Millenium GoalsDevelopment at the World Banko Visits to bankso Lessons on the Value of Moneyo ldquoCaring4girls sanitary towels distributiono Banking On Our Future Lesson on Dignityand some aspects of Childrenrsquos Rights

Five-cent coins weighing yourwallet down The KZNFLA haspartnered with the BusinessWorld Development Trust tocollect 20 million coins - R1 mil-lion - by the end of the yearThe idea is to sponsor62 learners from ruralschools to study towardsan entrepreneurship andmanagement qualifica-tionBusiness World CEOStacey Francis said it hasalready collected 55000 coins ldquoPeoplethrow these coins out oftheir wallets becausethey are like an irrita-tionrdquoBusiness World will besupporting Entrepre-neurs with companiesthat are registered andwith basic businessplans and mentorship to ensurethat they are successful businessowners

KZNFLA members can becomeinvolved by availing a tin(s) attheir organisations for clientsand staff contributions alterna-tively by participating in theldquoadopt a studentrdquo programme

For more information call 033342 2844

A two-day workshop on Debt Counselling and EmolumentAttachment Orders (commonly known as Garnishee orders) forEmployee Wellness Practitioners and Human Resource employees inKZN was held in March The purpose of the workshop was toempower these public servants to assist employees who areindebted The workshop targeted employees from the 15 provincialdepartments and is a response to the high number of indebtedgovernment employees as well as high incidents of fraudulentgarnisheesThe training in the Debt Counselling Process and UnderstandingGarnishees helped the HR staff members to assist and supportindebted colleagues as well as protecting them from immoral andunregistered debt collecting attorneysThe garnishee workshop is one of several initiatives that followed theestablishment of the Government Employee Focus Group of the KZNFinancial Literacy Association A garnishee task team driven by theOffice of the Premier and the KZNFLA will implement strategies todeal with existing garnishees and debt counselling abuse ofgarnishees and fraudulent garnishees and ways of preventingindebtedness and garnishee ordersThe KZN public service garnishee task team will complement thework by the national task team headed by Credit OmbudsmanManie van Schalkwyk established to investigate current practicesand establish a code of conduct to address concerns that EmolumentAttachment Orders loosely referred to as garnishee orders

Lyndwill Clarke (FSB)rsquos presentation onFinancial Education and Marketing sparkedlively discussions The FSB also shared SouthAfricarsquos first baseline survey on FinancialEducation

2 3

said Zeona Jacobs JSE Director Issuer Servicesand Investor RelationsPartners KZN Treasury JSE National CreditRegulator Financial Planning Institute and IthalaDevelopment

The KwaZulu-Natal Department of Educationin partnership with the Financial PractitionersDevelopment Trust Provincial Treasury andmembers of the KZNFLA officially launched the2013 KZN Grade 11 Speech Contest onFinance on 19 March 2013Topic 1 Me and the Law vs the FSPs Do westand a chanceTopic 2 What financial products can I buy withmy pocket moneyTopic 3 DadMom will we be rich one day

The JSE virtual trading game aims to teach theSouth African public about investing on the JSEEach participant is given an imaginary sum of R1000 000 to invest in JSE-listed shares Theirperformance is tracked and measured in acompetition against other participants taking partin the game The top performers win fantasticprizes Visit

The Financial Services Board has launched an Interactive portal forConsumer Financial Education on 21 June 2013 Meet Mr Bucks Wiser on

There is also a link to the KZNFLAwebsite and vice versa The FSB welcomes comment and suggestions

SaveAct shared its experiences and expertise with KZNFLA members at a miniworkshop in April FinMark Trust initiated a study to evaluate the currentfinancial education material and delivery strategy of the SaveAct financialeducation component

The aim of the study is to understand the specific needs forfinancial education content and whether the current material issuitable to meet these needs The research explores whether thecurrent delivery strategy is the most suitable given the context andeffectiveness in terms of behaviour change and it makesrecommendations on how the curriculum and or the deliverystrategy could be improved The study will help SaveAct to developa list of indicators and tools to be used for monitoring the quality ofthe training and its impact on peoplersquos lives In addition to theabove the outcome of the study is the development of a lsquotool kitrsquo toprovide a best practice guide in informing the design and deliveryof FE programmes to community based financial organisations