World Thrift Day is celebrated annually on 31st October worldwide. In India, the day is celebrated on 30th October. The day was established with the intent of raising awareness among people all around the world about the idea of saving their money in a bank rather than keeping it under their mattress or at home. This promotes savings and financial security for not only the individuals but for the nation as a whole. In this article, we will know about the day, its history and its significance.
As UPSC surprises aspirants with questions linked with what usually is assumed to be trivia; it is advisable that one must scroll through the facts about World Thrift Day to get the basic information. The topic, if at all asked in the UPSC Prelims, will form the part of the current affairs.
Facts about the World Thrift Day
Read the below-mentioned facts about World Thrift Day; and aid your IAS Exam preparation along with other competitive exams’ preparation.
|Observed on (Worldover)||31 October|
|Observed on ( India)||30 October ( The day is not celebrated on 31 October because the former PM Indira Gandhi was assassinated on this day).|
|Theme of 2021||Understanding the Importance of Savings|
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About the World Thrift Day
- World Thrift Day, also called World Savings Day, underscores the importance of savings in every individual’s life. Savings means ‘economising’ or ‘reserving’ a part of our regular income to be able to use it to make a bright future. Saving secure ones’ future and also preserves resources by avoiding wastage.
- World Thrift Day is an event to raise awareness about the importance of savings for individuals and as a responsible contributor to the country’s development, saving money is important for the country’s economic growth as well.
- People save money for their old age, retirement, children’s education and marriage or to achieve an unfulfilled dream in their lives.
- The day gained prominence only after the Second World War when people evolved and started taking good care of their resources. Today, World Thrift Day has taken on a more significant role with commercial participation across the globe.
- The theme for World Thrift Day 2021 was ‘Understanding the importance of savings‘. This day has gained effectiveness over the years as every person today is encouraged to think about capital savings.
Read in detail about Financial inclusion in the linked article.
History of the World Thrift Day
The motive of establishing this day was to encourage people to save money that was lost after the first world war.
- World Savings Day was first started by the World Society of Savings Banks on 31 October in 1924.
- The day was launched by an Italian Professor, Filippo Ravizza. He called the day “International Savings Day”.
- The motive of Mr Ravizza to declare this day was to bring awareness amongst the family groups to save for their future, to save for their children, medical emergencies and unforeseen circumstances.
- However, certain countries have a history of celebrating savings day within their countries much before World Savings Day came into existence. e.g Spain has been celebrating the day since 1921 and Germany started it a few years later in 1923.
Significance of the World Thrift Day
- The day emphasises on Financial security, which is essential for a bright future. Saving money and investing it further in suitable commodities yield good returns, thus creating a sizeable contingency for one’s future.
- The day is used to spread information on the need to save and the various areas available for saving to the common public.
- ‘Thrift’ itself means using resources in a wise and careful manner so that we don’t end up exhausting it all up in one go. Therefore savings banks play an important role in promoting the culture of saving and investing in countries. They do campaigns and launch initiatives, such as working with non-governmental organisations in order to double the number of savings accounts held by the poor.
Note: As UPSC 2022 approaches, use BYJU’S free Daily Video Analysis of The Hindu Newspaper to augment your preparation.