As part of it keenness to impart financial education to children, the Ministry of Economy and Commerce has issued a range of tips to teach children the principles of investment.
The Ministry of Economy and Commerce highlighted through these tips that one of the most important ways in which parents can develop the child's personality and refine his independence skills is by providing him with a regular pocket money since childhood, and teach him how to use it properly.
The Ministry of Economy and Commerce has urged all parents to educate their children about saving. Therefore, parents can encourage their children to own a small moneybox where they can save their money.
Additionally, the Ministry added that parents can encourage their children to save part of their pocket money to purchase their products through counting how much their children saved at the end of the month and donating such amount to the charity which will motivate the children to continue saving.
In a related context, the Ministry addressed the basic steps that parents should follow in order to teach children the principles of investment. The first step is to take their children to the bank and encourage them to open their first savings account.
Additionally, the Ministry urged parents to teach their children the efficient way of using their daily pocket money by dividing it into three main parts; where the first part will be allocated for their daily spending, the second part will be allocated for saving and the third part will be donated to charity, no matter how small this amount is.
Regarding the crucial tips that parents should consider, the Ministry called parents to avoid showing any kind of wealth to the children when they go shopping even if it’s true. Parents should consider their children’s opinion when deciding on the product value, size and expiry date before purchasing it. Since parents are children’s role models, they should take that into consideration and avoid wasting money on unnecessary goods.
Parents can share with their children fluctuations in stock market which will help them to learn more about the world of money and business from a young age.
The Ministry highlighted the importance of utilizing simple applications such as: “Masareef”, “Number", “Mint", "Toshl" where parents can easily download them on their smartphones and teach their children how to use them. Such applications allow the user to keep track of his monthly budget as well as his parents’ budget which will enable him to control his daily, monthly and annual spending and know his monthly savings which will facilitate the process of monthly saving and investment.
