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07 May 2018 Photo Valentino Ndaba
Study shows students shop more and save less Dr Koloba
Dr Habofanwe Koloba, senior lecturer at the University of the Free State’s Department of Business proposes financial literacy as the solution to student debt and lack of saving predicament.

Did you know that failing to service store or credit card debt may jeopardise the growth of South Africa’s economy? Outstanding payments might seem inconsequential but they may adversely affect the country’s credit rating. Dr Habofanwe Koloba, senior lecturer at the University of the Free State’s Department of Business Management recently published an article titled: “Access to credit and saving behaviour of generation Y students: Are we educating an over-indebted generation,” in the Journal of Economics and Finance Studies which speaks of this phenomenon. 

From analysing the financial behaviour of a group of 145 millennials and literature, Dr Koloba hypothesised that easy access to store and credit cards by Generation Y students had influenced their poor saving habits. “There is a statistically significant relationship between store or credit card usage and lack of savings among Generation Y students,” he writes.

Salvaging the situation
Dr Koloba advocates for the integration of financial literacy within the curriculum in addition to parents playing an active role in instilling financial intelligence in their children from a young age. He also asserts that financial institutions need to offer products that encourage saving among students rather than luring them to indebtedness.

The benefits of saving 
Savings are channelled into dividend-producing investments which fuel the eradication of poverty, inequality and unemployment as well as provide capital for infrastructure development. Needless to say, a consumerist society with a poor saving culture does not promise to attain these successes.

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Prof. Jansen meets the community
2012-05-16

 

Prof. Jansen listens attentively to Mr Teboho Moloi, who represented the Harrismith Business Forum at the community meeting where the UFS vision was shared.
Photo: Thabo Kessah

16 May 2012

We are very proud of our academic achievements, but without the human element, these achievements are not worth anything. This is according to Prof. Jonathan Jansen, Vice-Chancellor and Rector, who attended a meeting with the Thabo Mofutsanyana community in the Eastern Free State.

Prof. Jansen made the community aware that the university has two very important and interlinked projects – the academic and human projects.

“Our university has ambitions to produce the best scholars in various fields, but this cannot be done if we neglect the human aspect of doing things in the right way. We want to produce academic giants as much as we want to produce graduates of life,” said Prof. Jansen to an audience that included representatives from the traditional councils, business, religious and farming communities as well as the Maluti-A-Phofung and Dihlabeng Local Municipalities.

Prof. Jansen said that the memorandum of understanding that the university signed with the Dihlabeng Local Municipality in 2010 was already yielding positive results.

“There has been an enormous improvement in the matric results of the Dihlabeng schools that are part of our efforts to contribute towards building a brighter future for our children. We want to thank the municipality and the Honourable Mayor Tjhetane Mofokeng for being part of this partnership,” added Prof. Jansen.
 
“We are grateful that the university is considerate of its stakeholders in developing this Maluti-A-Phofung area. I am also aware that this institution has contributed towards the building of a crèche in the Mabolela village in Qwaqwa and for this we are very happy,” said Ms Linah Mnisi from Motlotlwane Projects and Consultants.
 

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