By Ndatyoonawa Tshilunga- Nelumbu
The evolution of financial theories and concepts is a much-overlooked matter in the ever dynamic and developing world.
Societies are ever changing and attaching new dimensions to common words and ways of life in alignment with our nature of course.
In my view the most underrated and misrepresented financial term, financial literacy for example has seen major transformation and evolution since its inception in the apartheid era but is still not receiving the sovereignty and respect it deserves.
Back then under the regime of Von Trotha and co, financial literacy was capped to represent home budgeting and basic education on finances.
Responsible adults were taught about what money can do in their households when managed properly and sensitized on how their money can make the white man rich, discretely in words which resonated to them better and teased their mental capacity.
The benefit of the black man’s earnings to the capitalist was sugar-coated with terms which made him think that he too would be able to gain that type of financial emancipation enjoyed by his counterpart by the widespread of consumerism, which obviously meant that status was attached to the physicals things he bought like the famous Cressida, while the more financially woke “tates” invested their earnings in livestock, but still the knowledge of adults those days on finances can be equated to a narrowed down and very limited edition of what my 7-year-old is already fully aware of.
Due to the evolving financial systems after apartheid and changing behaviours of the consumers who were now independent and exposed to new ways of thinking, including developing a hunger for the full experience of mental emancipation, the term financial literacy then became widely recognized as to be included in the financial system and subsequently being an agent for sparking economic development.
In Namibia, after 1990 the government underwent a more inclusive restructuring process which resulted in the establishing of over 15 ministries, boosted by a public service framework enabling job creation leading to the boost of plus 50 000 government employees from a total of 1.4 million people.
This automatically meant that there was more money circulating in the economy and more opportunities to grow one’s money or blow their money , depending on their level of financial literacy. This new era also marked the boom of financial products by insurances companies as stable income meant, deduction and greater profits for the capitalist systems.
The policies matured decades later and looking back the maths on the earnings still reeks of rip off, while the terms and conditions were not well understood and early withdrawals would mean that a client would lose great portions of their savings as penalties.
Being a public servant, was synonymous to “Cash cow”, as citizens were now slightly financially empowered however not sensitized on how to remain financially empowered, leaving cracks to banks and other financial institutions who exploited the financial health of the public servants.
The revolution to this toxic notion has gracefully transitioned into a gem I recently discovered, which unlike other financial products, does not go on a debit rampage on your payslip as a government employee.
NAMSACCO, “Namibia Public Service Savings and Credit Co-operative”, can be referred to as a stokvel that went to a private school, the platform is a savings and credit cooperative (SACCO) for Namibian public servants, which serves as a platform to save money and access loans under less ruthless terms.
The terms are owed to the fact that the cooperative is not commercialized but rather owned and controlled by its own members, potentially you and me.
Through this model NAMSACCO aims is to promote a savings culture among public servants and to provide borrowing opportunities at fair terms. The owning and controlling factors of the cooperative, introduce a financial confidence which allows public servants to borrow their own money and have a share in an institution that is tailor-made for them, promoting their financial health.
This great shift adds a new options available to government employees which is equalizing them with private investors, by restoring investment and saving dignity. Activities such as earning, saving and spending have now been revolutionized by the “financial emancipation underdog”, as I like to term the Namibian cooperative.
The cooperative is run on the basis to benefit its members and not to exploit public servants who are already hanging on a thread in terms of financial literacy. With a mere 1.25% charged on a monthly, reducing balance basis interest rate on loans, a public servant is granted 3 times of their savings upon request.
This initiative deserves widespread knowledge across all public institutions as it enables public servants to explore alternative favourable financing models. More information can be found on their website, www.namsacco.com.na
* Ndatyoonawa Tshilunga-Nelumbu is a passionate Construction Economist and Social Engineer, dedicated to creating sustainable, impactful solutions for Namibian society. With a focus on social housing, Ndatyoonawa is committed to addressing the nation’s challenges through thoughtful, long-lasting processes. A Development Finance scholar , Ndatyoonawa’ s work bridges the gap between economics, infrastructure, and social well-being.
