To Save or Not to Save Dilemma: Insights from a Behavioural Perspective

This qualitative study explored the role of psychographics on the saving behaviour of individuals. Forty-three (43) semi-structured interviews were conducted with informants at their places of work. The results showed that most informants did not immediately recognize saving money as an important personal value. Instead, various dimensions of the safety and security value emerged as most important in the informants’ life. Surprisingly, a majority of the informants expressed positive attitudes toward savings and claimed that they save money in different formal and informal savings instruments. Informants also revealed that they save in order to achieve safety and social needs. The decision to save or not was perceived as a choice dilemma that is predominantly influenced by psychographics and marketing efforts. The study calls for policy makers and financial institutions to work closely to facilitate education on savings, which will improve the level of financial literacy among adults or inculcate the culture of saving at an early age.