Financial problems do not always begin with a lack of money. Sometimes, they begin with poor financial decisions, unhealthy habits and the desire for quick solutions to everyday challenges.
Two practices that deserve serious attention in our society are gambling and irresponsible borrowing from informal money lenders, commonly known as mashonisa. Although they may appear to be completely different activities, both can lead people into a cycle of financial instability, debt, desperation and, ultimately, poverty. What makes these two financial traps particularly dangerous is that they often start with seemingly harmless decisions. Someone places a small bet, hoping to make extra money.
Another person borrows E500 from a mashonisa to cover an unexpected expense, promising to repay the money when their salary comes in. Neither person necessarily anticipates the financial consequences of these decisions.
However, when such activities become regular habits, they can gradually take control of a person’s finances and affect their ability to build a secure future.
Gambling has increasingly become accessible through sports betting platforms, online casinos, mobile applications and other betting services. For many people, the attraction lies in the possibility of turning a small amount of money into a substantial financial reward within a short period. Someone deposits E50 hoping to win E500, while another deposits E200 hoping to win E2 000. The possibility of winning creates excitement and encourages people to participate repeatedly.
However, gambling should never be confused with investing or treated as a reliable income-generating activity. Investing involves allocating money to assets or opportunities with the expectation of generating returns over time, while gambling involves risking money on uncertain outcomes. There is no guaranteed financial return, and the possibility of losing the entire amount remains. One of the most dangerous behaviours associated with gambling is chasing losses.
This happens when someone loses money and immediately places another bet, hoping to recover what they have already lost. Instead of accepting the loss, they convince themselves that the next bet might change their financial situation. Unfortunately, this can lead to repeated deposits, larger bets and increasingly desperate decisions.
Consider someone earning E5 000 per month who spends E 50 every day on gambling. That amounts to E1 500 per month and E18 000 over 12 months. Imagine what that money could achieve if it were directed towards building an emergency fund, reducing debt, investing or starting a small business. The financial opportunity cost is significant. It is not only about the money lost but also about the opportunities sacrificed along the way. The consequences of gambling can extend beyond personal finances. People may begin using money intended for groceries, rent, school fees and other household responsibilities. Some borrow money to continue betting, while others hide their gambling activities from family members.
In severe cases, gambling can contribute to family conflict, emotional distress, poor work performance and financial desperation. When gambling becomes difficult to control, professional support is important. It should not be dismissed as simply a lack of discipline.
The second concern is irresponsible borrowing from mashonisa. In Eswatini, informal money lenders are part of the financial reality for many people who struggle to access affordable credit or need money urgently. Some borrowers turn to these lenders because of emergencies, while others borrow because their salaries are exhausted before the end of the month. There are also individuals who borrow to maintain lifestyles they cannot comfortably afford. Borrowing money is not automatically a bad financial decision. Credit can be useful when it is obtained responsibly, under clear and affordable terms, and for a purpose that justifies the cost. The problem arises when borrowing becomes a routine method of surviving from one payday to another. For example, someone borrows E1 000 and agrees to repay E1 500 the following month. When payday arrives, the borrower settles the loan but discovers that the remaining salary cannot cover household expenses and other financial commitments.
Consequently, they approach another lender to borrow again. The following month, the same situation repeats itself. This creates a debt cycle in which a person receives a salary every month but makes little or no progress towards improving their financial position. Their income is increasingly committed to repaying previous loans rather than meeting current needs or building future financial security. In essence, they are working primarily to service debt.
Another concern is that some informal lending arrangements involve excessive charges, unclear repayment conditions, intimidation and potentially exploitative practices. Borrowers should never agree to financial terms they do not understand. Before accepting any loan, it is important to establish the total repayment amount, applicable interest and charges, repayment period and consequences of defaulting. People should also understand their legal rights and seek appropriate assistance where lending practices appear unlawful or abusive. Perhaps the most concerning situation occurs when gambling and mashonisa become connected. Imagine someone who loses E1 000 through sports betting. Instead of accepting the loss, they approach a mashonisa and borrow another E1 000, hoping to recover their money through gambling.
Unfortunately, they lose again. They are now left with the original gambling loss and a new debt obligation. When repayment becomes difficult, they may borrow from another lender or use money intended for essential household expenses. As financial pressure increases, they may return to gambling, believing that one successful bet will solve everything. This is a dangerous cycle because the individual is attempting to solve one financial problem through another risky financial decision.
The solution requires more than simply earning additional income. It requires confronting the behaviours that contribute to financial instability. People must learn to distinguish between financial needs and wants, develop realistic budgets and make deliberate decisions about how their money is spent.
A monthly budget provides a clear picture of income, expenses, debt obligations and available resources. It also helps identify unnecessary spending that can be redirected towards more productive financial goals. Building an emergency fund is equally important. Even saving E50 or E100 consistently every month can establish a useful financial habit. Over time, these small contributions can provide a financial cushion for unexpected expenses and reduce dependence on expensive borrowing.
People should also prioritise settling existing debts and avoid taking additional loans to finance unnecessary consumption. For individuals already struggling with gambling, seeking help is a sign of responsibility, not weakness. Where gambling has become difficult to control, professional counselling and appropriate support services can help address the behaviour. Families and communities also have a role to play in encouraging responsible financial habits without humiliating or condemning those experiencing financial difficulties.
Ultimately, earning a salary does not automatically translate into financial security. Someone earning E4 000, E8 000, E15 000 or even E30 000 can remain financially unstable if their income is constantly consumed by gambling, unnecessary borrowing and debt repayments. Financial well-being is determined not only by how much money we earn but also by how effectively we manage what we receive. As a society, we must begin having honest conversations about the financial habits that prevent people from progressing. We cannot continuously complain about the rising cost of living while ignoring behaviours that unnecessarily drain our limited financial resources.
We must also recognise that financial difficulties are sometimes caused by circumstances beyond an individual’s control. However, where our decisions contribute to the problem, we must be willing to change. Do not sacrifice your financial future for the excitement of a possible gambling win or the temporary relief of an expensive loan. Your salary should help you meet your responsibilities, build assets, prepare for emergencies and create opportunities for a better future. The objective is not merely to receive money every month but to reach a point where your income supports your goals rather than keeping you trapped in financial problems. Remember, financial freedom begins with responsible decisions. Your money deserves a plan!
ABOUT THE AUTHOR
Clement Dlamini is a Certified Personal Finance Advisor (CPFA), and Business Development Strategist. He provides services in personal finance coaching sessions, debt management, business plans, designs posters, financial statements, funding proposals, company profiles, tender documents, company registration trading licenses and entrepreneurship training.
Visit us at opposite Mbabane Municipal Council, Mbabane House, Third Floor, office #312
Contact: (+268) 7918 5022 / 7816 3486.
