Te Araroa school funded $140,000 over two year for financial literacy programme

Students of Te Waha o Rerekohu Area School learn finance at an expo with their whanau. Photo / Booster Foundation

A collaboration between a Te Araroa school and a Tairāwhiti-based strategic management service to build primary-age students’ financial literacy will benefit from $140,000 in funding.

Te Waha o Rerekohu Area School and Kiko Innovation have been exploring what a more inclusive, equitable financial system could look like since 2018, starting with education and KiwiSaver.

Kiko Innovation is a Tairāwhiti-based kaupapa Māori-led “innovation ecosystem”, according to director Cain Kerehoma, a former student of Rerekohu.

Building financial capabilities was a key area of work for Kiko up the East Coast, he said.

Kerehoma said in a statement that he saw the programme as a long-term strategy to “build our hapu’s wealth over generations and invest in the future of our tamariki, by getting primary-aged kids on their long-term savings journey and kickstarting their KiwiSaver”.

“They know what interest means, they know what expenses are and when we use that kupu or jargon. The kids have a real depth of understanding of what they mean,” he said.

The pilot school programme uses Banqer, a financial education platform for schools through which tamariki engage in a simulated environment.

They play the game of money from five years old when they start school so they learn about savings and investment and how consistent saving over time makes the biggest difference.

In the long term, Kerehoma would like to roll out the programme across Tairāwhiti and ultimately nationwide to build long-term intergenerational wealth.

Ryno Theron, then a teacher at Rerekohu School, said some of the kids started with low financial understanding.

“They don’t have bank cards, there is no talk in the household about money and saving. Now the kids are learning about things like rent, internet, power and savings, and they are starting to talk about these things at home, so the programme is setting the kids up to be able to make great financial decisions for when they eventually leave school,” Theron said.

“Whānau engagement is key and enthusiasm within our school community about this enhanced learning opportunity is palpable, as we look forward to equipping our students with essential financial skills that will serve them well beyond the classroom.”

One student said: “Matua Ryno showed us what a need and a want is. For example, something you really need is food, a normal car and definitely a house. On the other hand, a want is something you really want but you won’t need. For example, something you want is lollies, a Lamborghini and probably some Air Jordans, mostly something that looks cool. I think I am ready for life now.”

The Booster Foundation, a charitable trust created and funded by investment manager Booster Financial Services, is helping to fund the programme and providing support for the school and its community by onboarding them with Banqer, setting up a financial expo for whānau, and offering deeper engagement initiatives with whānau.

The foundation will provide a total of $140,000 in funding over two years - $70,000 this year and $70,000 next year.