SPEECH BY MR ZAINUL ABIDIN RASHEED, MAYOR OF NORTH EAST COMMUNITY DEVELOPMENT COUNCIL AND MP FOR ALJUNIED GRC AT THE OFFICIAL LAUNCH OF "TALKING DOLLAR AND SENSE" WORKSHOP
ON TUESDAY, 8 JUNE 2004 AT NORTH EAST COMMUNITY DEVELOPMENT COUNCIL AT 2.30PM.

Ladies and Gentlemen,

Good Afternoon

1  For the last 3 years, we have journeyed through a number of turbulent periods. We received bad news one after another - retrenchment, recession, unemployment which left many disheartened. With 16,400 workers retrenched as at 2003 and the unemployment rate at 4.5%, many who have lost their job were left confused, depressed and lost. With not much savings and unsettled bills, they wondered about their means of survival. 

2  You may be wondering why I began with such a solemn message. This is because I want to present the reality that is facing us today. In such a fast-changing world, where everything is unpredictable, it is safe to think we are very vulnerable. Therefore, we need to have a firm grip over our savings as well as our spending. Take the story of "Money Not Enough" as an example. I believe many of you here remember this movie which was made famous by Jack Neo. It tells us a story about a man who loves spending his money beyond what he can afford, using his credit card, until one day when he lost his job, he has to face the reality and start from scratch again. The movie has taught us an important lesson about spending within our means. I remember a Malay proverb "Sediakan payung sebelum hujan" or in Mandarin "wei yu chou mou". Translated to English, it literally reminds us to prepare ourselves for a rainy day.    

3  And it is for these very reasons that the North East Community Development Council (CDC) has introduced "Talking Dollar and Sense" - a financial education workshop that aims to help and educate our residents on how to better manage their finances.

4  You may ask, "but why a financial education workshop"? As highlighted by our Deputy Prime Minister and Chairman of the MAS, Mr Lee Hsien Loong and let me quote "In this new and changing environment, Singaporeans need to become more self-reliant in their financial affairs. They must acquire the knowledge and skills to manage their day-to-day finances, make prudent investments and plan for their longer-term needs."

5  Education is the way to go. More so is financial education. It is the most practical way to help our residents. It is for everyone and is the critical step to an improved life. It is something we have to start today if we want a better tomorrow.

6  With 3,956 households benefiting from the various financial assistance schemes between March 2003 to April 2004 and with more applications coming in, North East CDC hopes that through the series of workshops, our residents especially those who are receiving financial and employment assistance would be able to learn living within their means. These residents were invited to participate in the programme as they are more likely to have difficulty in managing their finances. They also have incurred arrears in power supply, service and conservancy charges or other personal debts. When not managed properly, the arrears and debts will balloon, accumulating interest by the day. Since the introduction of "Talking Dollar and Sense", we have 34 families participating in this workshop. They have not only gained financial budgeting skills, but have helped themselves out of financial difficulties. The workshop is not just a one-off session but there will be follow-up sessions for the participants to review their progress and put into practice the various ways of trimming unnecessary expenditures and improving their savings in the long run. More importantly, I believe, the skills learnt through these workshops will benefit them for years to come. In short, make it a life-long skill.

7  I would like to thank MoneySENSE and the volunteers from Insurance and Financial Practitioners Association of Singapore (IFPAS) for their efforts and time spent to review the progress of money management with the participants.

8  To all the participants who have completed this programme, we hope they have benefited and imbibed the right values for money management to improve their financial health in the long run.  We also hope that the various tips and action plan developed in the cause of this learning process would cultivate the spirit of self-help in the community.

    Thank you.