Economy
Investment experts on Friday urged commercial banks and financial institutions to support investment clubs to curb ponzi schemes in the country.
They gave the advice at The Green Investment Club (TGIC) media parley in Lagos with the theme: “The Money Moves of Today’s Young Nigerian.”
TGIC Founder, Mrs Tomie Balogun, said that investment economic fallout from events such as global market crash, economic recession and the COVID-19 pandemic made young Nigerians to fall for ponzi schemes.
Balogun said that the economic situation and high incidence of these fraudulent schemes showed a dire need for financial education.
According to her, TGIC works to bridge the gap in financial literacy among the youth in Nigeria through its products and services.
She said that the club, from 35 members at inception to over 1,700 members in three years, was targeting 10,000 members in the next five years.
“Our five-year vision is to help at least 10,000 individuals be financially educated and provide investment advisory services to them.
“We expect this to increase saving deposits in financial institutions. The deposits will be mobilised toward investing in small businesses in the economy.
“When these businesses are supported, they will provide employment to more people and reduce unemployment figures by at least 20 percent,” Balogun said.
She said that the club had successfully mobilised $17 million for multiple projects that created jobs and contributed to economic growth in Nigeria.
Balogun said the club had sourced direct investment opportunities in the capital market, agro-processing, consumer lending, logistics, FinTech and real estate development sectors in Nigeria, UK and USA.
Speaking on investment challenges, she called on the government to unify the country’s exchange rate to reduce production cost.
Balogun said that multiple exchange rates drive arbitrary charges, cost of production and hike in prices of goods and services.
“Government should support SMEs and the manufacturing sector to grow output in order to boost the Gross Domestic Product,” she said.
She noted that the COVID-19 pandemic, in spite of the challenges, came with a lot of investment opportunities for smart investors.
Also, Mrs Oladunni Olawuyi, Chief Operating Officer, Apel Asset Ltd., said that financial institutions should support investment clubs to boost investment education.
Olawuyi said that investment clubs help to sanitise the economy of ponzi schemes, promote financial literacy and investment diversification across different economies.
She also stressed the need for an enhanced investment for a better future.
Mr Osazuwa Osayi, co-founder Farmforte Ltd., said that investment remained the key for financial freedom.
The News Agency of Nigeria (NAN) reports that the TGIC, at the event, unveiled its three-year report.
The club, in the report, said that macroeconomic environment in Nigeria in the second quarter of 2021 would remain tight.
It said that government earnings from the sale of its major export, crude oil, would be subdued despite the increase in Nigeria’s production quota at OPEC’s last meeting.
“This, we believe, will bring tighter restrictions on foreign exchange in Q2, thereby pushing up inflation and widening the disparity in the different segments of the foreign exchange market,” said the report in part. (NAN)
– Apr.24, 2021 @ 47 GMT |
Tags: Experts seek banks’ support for investment clubs The Green Investment Club Tomie Balogun
