Investment and savings culture needs major shift – TMS 2024 speakers

By Joshua Worlasi AMLANU

Industry leaders, policy-makers and experts  convened at The Money Summit 2024 (TMS) have urged an imperative shift in the nation’s investment and savings culture.

Amid challenges posed by the global pandemic, domestic debt restructuring and evolving financial landscapes, the summit emphasised the urgency of embracing ethical standards, professionalism and responsible investing practices.

The summit, organised by the B&FT and themed ‘Investing for the Future: Re-thinking Investment and Savings to Drive Sustainable Economic Growth’, brought together stakeholders from various sectors to address the concerning trend of low savings rates and lacklustre investment activity in the country.

Addressing the gathering, Atta Yeboah Gyan, Deputy Managing Director of Fidelity Bank, urged a paradigm shift in investment strategies by rethinking the way capital is allocated. “We have the unique opportunity to collectively chart a course toward a more sustainable and equitable future,” Mr. Gyan stated. “This requires us to re-think the way we allocate capital – from traditional asset classes to emerging opportunities in renewable energy, sustainable infrastructure – and impact investing.”

Mr. Gyan reiterated the need to move away from traditional asset classes and explore emerging opportunities that align with values and beliefs such as environmental sustainability or social impact.

The summit’s panel discussions delved into various aspects of accelerating savings and investment climate, with experts sharing their insights and experiences.

Allen Quaye, Head of Retail Banking at FBN Bank, highlighted the role of innovation and customer-centric solutions in driving savings. “Of course, for banks that are also innovative and responding to innovation, and of course in line with customer needs, they have positioned themselves with relevant product solutions that actually address the needs of customers.”

Dr. Gabriel Odeh Apotey, Vice President of CIFIAG, emphasised the need for capacity-building and financial literacy. “I think the thinking going forward as we begin for this conference is about  what technique we can put in place to ensure that, at least, we can incorporate a habit of savings into Ghanaians so that – at least – in the end, it benefits the common good,” he said.

Ankit Tandon, Director of FX Sales at Regulus Finance & Investments, stressed the importance of trust in the investment ecosystem. “What DDEP has effectively done is, it has created a lot of anxiety and uncertainty in the minds of investors. And that has resulted in drop in flow of funds in the economy. So, I think the need of the hour is to find out ways and means to regenerate that sort of trust and interest in the economy.”

Similarly, Dr. Rejoice Wodomdedzi Foli, consultant and UN Peace Ambassador, stated the need for tailored solutions addressing the diverse needs of different segments of society.

“Are we truly addressing the needs of those specific segments? This communication needs to go viral. Investment and saving are imperative. Do we genuinely appreciate our users’ respective needs and wants?” she asked.

Mr. Quaye echoed the importance of financial literacy, advocating continuous drives and initiatives to educate the public.

Explaining further, he said: “And of course, the four needs of customers need to be addressed. And we can address that with continuous financial literacy drives, either by the players or by the regulators, so that the customers’ needs are properly identified and shared with them”.

The summit also acknowledged the transformative power of digitalisation, with experts urging vigilance against cyber threats and the prioritisation of cyber-security measures to safeguard financial transactions.

As the discussions concluded, a resounding call for collaboration among stakeholders, including market participants, regulators and the government, emerged as a crucial step toward fostering a robust savings and investment culture.

“All of us – we market participants, along with regulators and even governments – need to work together to achieve that objective,” Mr. Tandon emphasised, underscoring the need for concerted efforts to restore trust and revive the flow of funds in the economy.

The Money Summit 2024 served as a platform for open dialogue, knowledge-sharing and collective strategising, paving the way for a comprehensive approach to addressing the nation’s investment and savings challenges.