A financial literacy programme was launched by the North East Community Development Council (CDC) and POSB on Friday to encourage regular savings among children from low-income homes, and to track their saving habits.
From next January, upper primary students from schools in the North East District who come under the Education ministry's Financial Assistance Scheme, will get to learn basic budgeting and savings concepts through a workshop.
Those without a POSB savings account will receive a one-time $10 cash credit from North East CDC if they start an account.
They will then be encouraged to save regularly, receiving nominal rewards at six-month intervals for a year if they save at least $10 each month.
POSB will continue to monitor their bank accounts in the second year, to see if they maintain the savings habit without the incentive and cultivated positive savings behaviour.
The "WeCare@North East Young Savers Workshop" was officially launched by Mr Teo Ser Luck, Mayor for the North East District, at the Pasir Ris East Community Club. Two new Primary 4 cohorts will join the programme in 2015 and 2016, benefiting a total of 7,000 students over three years.
About 100 students got a first glimpse of the workshop, which includes a board game segment, at the launch event on Friday.