World Savings Day, also called the World Thrift Day, is celebrated every year on October 31 across the world. The ceremony was introduced in 1924 for promoting the value of bank savings and re-establish citizen’s confidence in banks.
The Day was launched during the First Congress held at the International Savings Bank in Milan, Italy. The last day of the assembly was declared as the World Savings Day. The concept of World Savings Day was adopted by the banks of the United States and Spain and the United States.
In order to promote better living standards for the people of the nation, banks suggested the concept. World Savings Day was first introduced as the celebration in the form of a holiday in the year 1921.
Even though the concept was supported by other countries’ banks, but it was difficult to implement the concept everywhere. Germany faced challenges in influencing people towards savings as the citizens of Germany didn’t trust banks after losing their savings in 1923 Monetary Reform.
World Savings Day (World Thrift Day) 2019
World Savings Day was celebrated on Wednesday, 30th October 2019. It is celebrated every year on the same date to make people aware of methods for saving their money and its needs.
Many countries across the world – Austria, Belgium, Cuba, Columbia, and Germany, celebrated the World Savings Day.
Several economists and persons from the banking industry elaborated on the role played by savings and retail banking in the overall financial system.
The word for saving was spread through print, electronic as well as social media platforms.
History of World Savings Day
October 31 was nominated as the World Thrift Day in the year 1924. It was the last day of the first International Thrift Congress held in Milan in the year 1924. It was decided in the resolutions that ‘World Thrift Day’ should be the day dedicated to promoting savings across the world. The Savings bank also participated actively in promoting savings. The banks received support from the women’s associations, professionals, sports associations, the clergy, schools, and various other organizations. World Thrift Day was basically promoted as a mission of moral and economic rise.
The first World Thrift Day was celebrated in 1925 and the coordinators clearly knew what they wanted to promote. Saving in many countries is considered a phase of maturity for both the country and the people. Saving money is important for gaining a better standard of living and to preserve the economy. The first national Thrift Day was celebrated in the year 1921 in Spain and the US. However, in countries like Germany, the confidence of people had to be regained because the 1923 German monetary reform had left people with almost nothing.
World Thrift Day is promoted through propaganda and educational films, broadcasting, chorus singing, press-articles, leaflets, brochures, lectures, and posters.
World Thrift Day continued after the Second World War and reached the height of its popularity between 1955 and 1970. It practically became an absolute tradition in many countries. For instance, the ‘Sparefroh’ (literal meaning: ‘Happy Saver’) the official amulet of saving in Austria gained such popularity that a street was also named after him. In the era of 1970s, the ‘Sparefroh-Journal’, which is an educational magazine for the youth that achieved distribution of 400,000 copies.
Even today, Thrift education is highly popular in developed countries because most of the people in those countries believe in saving money and practically there is no single individual who doesn’t own a bank account. The concept of inspiring people towards saving is yet challenging is in the developing countries where the ratio of savings accounts is very minimal and barely exceeds 10%. Saving banks play a major role in promoting savings in developing countries with various initiatives and campaigns. The Savings banks also work with the Bill & Melinda Gates Foundation in order to increase the number of savings accounts owned by the poor.
World Savings Day Hymn Composed
Gino Valori and Giuseppe Pietri composed a Hymn of Thrift in the year 1928. Later, countries like Germany, Spain, France, Czechoslovakia, Poland, Austria, Great-Britain, and Belgium were proposed to compose the Hymn of Thrift.
World Savings Day also aims to promote savings in educational institutions such as schools of the member countries and thus various savings movements were planned in the schools. In the Thrift week, particular courses were prepared to teach children about the merits of “Thrift”. Savings bank passbooks and Money boxes were disseminated in schools. Thus, the World Thrift Day apparently influenced school savings to a great extent.
Initially, World Savings Day was partly an educational activity. The World Savings Bank Institute quoted that saving was a practice and an asset that is necessary for the social progress of an individual, a nation and of the entire community.
Thus, the World Savings Banks Congress affirmed schools as the most trustworthy partner for teaching to future customers. It was suggested that Thrift education was important for everyone to utilizing and spending their money sensibly. Savings is also a key element in safeguarding the future of people against any adversities and uncertainties of the future. It is also necessary that people get habituated to save their hard money and oppose as well as fight the gambling and lottery game.
Why is World Savings Day celebrated?
World Savings Day is very popular in many countries and the reason for this attractiveness is that many obstacles still remain to savings. Since the high rate of unemployment and poverty is still prevalent in many regions of the world, educating people on saving and influencing them to save money is very important. Savings are crucial for preparing for the bad days of life. It is especially important during the days when generating income gets hindered due to several reasons such as illness, loss of a job, disability, or old age. Savings also form the basis for investment and for earning more income.
The Day is celebrated in order to promote savings in common people. It is a global celebration particularly sustained by the responsible retail and savings banks, cultural organizations, sports bodies, and skilled agencies. World Savings Day reminds us of the importance of regularly saving for having a protection net. Savings also help an individual in achieving the dreams or goals such as starting a business, healthcare treatment, receiving a good education or purchasing a home.
How is World Savings Day Celebrated? / World Savings Day Activities
Throughout the world, the World Savings Day is celebrated on 31st October every year. In India, it is celebrated on the 30th of October in every District of the state. The celebration involves the local MPs, District Collectors and MLAs, and almost every Government officials. Earlier, it was celebrated in India on 31st of October but ever since the demise of the Prime Minister of India Indira Gandhi on 31st October 1984, the World Thrift Day is celebrated on 30th October.
The day is celebrated in different styles in different countries. However, the focus remains the same for the majority of countries i.e. educating people about the significance of saving money. Leaflets, Posters, and Brochures are distributed amongst the masses to inform them about the importance of savings. Educational films and Press Articles are also created in various parts of the world in order to share the importance of saving money.
Since the habit of saving money is needed to be inculcated in children, Saving Campaigns are organized in schools. Children possess knowledge about the advantages of saving and thus it can help them in their outlook. Money boxes and savings account passbooks are distributed amongst the children. Information is shared with the school children about the importance of savings in their life. Kids are very positive in using the passbooks of savings bank accounts and money boxes.
Retail banks and Savings banks take several steps in educating people about the benefits of savings through various methods. Such steps involve making it easier for every person to open saving bank accounts and deposit the money. Customers are also informed about the importance of possessing a formal savings bank account. Since most of the bank accounts in the world are the savings account, it is one of the most crucial natures to possess.
The Savings revolution helps in promoting the custom of savings in people and offers a good return to the small investors. It also helps in mobilizing the funds for fulfilling the needs of the country’s planned economic and social expansion.
Thrift in India is an old-age virtue. India is one of the few countries that possess the highest savings rate in the developing economy of the world. The small savings has played a great role in controlling the savings done by the small savers for planned advantageous development of India.
On the occasion of World Savings Day every year, many retail and savings banks in Brazil, Mexico, Zambia, Thailand, Colombia, Côte d’Ivoire, Tanzania, Italy, Germany, Austria organize marketing events for existing clients and potential clients. Many member countries run the savings movements for several weeks or an entire month.
In New Delhi, the Indian member of WSBI ‘National Savings Institute’ organizes the celebrations of the World Savings Day at its regional headquarters. All the stakeholders in domestic savings movement such as extension agencies, the provincial government, post offices, insurance companies, and banks are involved. National Savings Institute launches a nationwide publicity campaign and releases a particular advertisement in regional and national newspapers.
The publicity campaign incorporates the messages of high-level officials to elevate awareness of the merits of saving among the people. “Savings Fortnight” celebrations follow the World Savings Day celebrations during the fortnight functions, various initiatives such as rural and urban savings seminars, meetings, campaigns, meetings, an exhibition of posters/banners at specific public places, etc are organized throughout the country.
World Savings Day Theme
The theme of World Savings Day in 2016 was: “Grabbing Hold of Your Financial Future”
Saving your money is crucial for everyone’s future. It is important not only on an individual level but also at the national level as it brings down the poverty rate of a country; thereby contributing largely towards economic development. World Savings Day reminds people to join hands in the mission of savings. It influences different banks, schools, people and the community to let the fervor of savings continue and spread everywhere possible.