Role of stokvels in economy highlighted at indaba
STOKVELS and burial societies, which command about R44bn between them, should play a more meaningful role in the economy, Thabiso Masudubele, the founder of the Stokvel and Burial Societies Indaba, said on Wednesday.Informal savings — in the form of stokvels and burial societies — outpaced other forms of savings for the first time in three years, accounting for nearly 80% of the savings vehicles used by respondents to insurer Old Mutual’s Savings and Investments Monitor released in July.This was among six other savings vehicles they had used, with retirement annuities ranking the lowest.The number of respondents who said they were not saving for retirement rose to just more than 40% this year."We have this misconception that there is this market in the township and there is a mainstream one," he said in an interview."How do the likes of Pep and Shoprite make their money? They need to draw in stokvels."Presenting the survey results to the indaba, Old Mutual strategy executive Lilian ...
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