Gambling risk hits stokvel savers and retirement funds
Over half of stokvel savers gambled in the past year due to financial distress, threatening retirement funds.Summary
The Rogerwilco 2026 Township Customer Experience (CX) Report, based on a survey of 1,600 township residents, reveals that 55% of stokvel members gambled at least once in the past year due to financial distress. Financial inclusion specialist Palesa Lengolo emphasized that financial literacy must address financial pressures, behaviour, and risk, not just spending habits. Retirement fund providers, including Discovery's Guy Chennells, warned that South Africa has one of the world's highest online gambling rates among people aged 16 and older, threatening long-term retirement security. Despite these pressures, stokvels remain vital, with over 800,000 active groups holding around R50 billion annually for 11 million members, mostly outside formal banking. Experts call for banks to develop tailored products for stokvels, such as constitutions and digital communication tools, while research from Dr Akim Tafadzwa Lukwa highlights that stokvel accountability is social rather than contractual. The report found 61% of members save for large annual expenses, 44% have contributed for at least seven years, and women lead 95% of stokvel groups studied in Dunoon and Khayelitsha.
(Source：The Citizen)