More than 11 million South Africans are members of stokvels - NASASA
Many rely on them to manage financial burdens, or to fund special items or events.
Picture: Pixabay
Thabo Shole-Mashao (in for John Perlman on 702) speaks with Andrew Lukhele, founder and Chairperson of the National Stokvel Association of South Africa (NASASA).
Listen below:
For decades South Africans have made use of stokvels, where they pool money for important occasions.
These operate like a rotating credit union or saving scheme, and the money can be used for anything from weddings and funerals, to supporting a business to buying property.
Members of a stokvel will contribute to a common pool and can draw it out on a rotational basis.
According to Lukhele, more than 11 million South Africans are believed to be members of stokvels.
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“Stokvels are proving to still be relevant. Young people are joining stokvels in droves.”
- Andrew Lukhele, Founder and Chairperson - NASASA
He says many of these people have found that the traditional banking system does not benefit them.
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