Analyzing the Demographic Differences in Context of Financial Literacy: Evidence from Quetta City

Purpose: This paper is aimed to analyze a set of demographic variables in the context of financial literacy. A person possessing the knowledge, skills, and abilities on financial matters can be considered financial literate. It is imperative to have such skills for efficient management of financial resources. Numerous demographic and socio-economic factors jointly determine the extent of financial literacy.Design/Methodology/Approach: The study is based on the analysis of primary data collected from the residents of Quetta city. Demographic and socio-economic factors are considered independent variables, while financial literacy is dependent. The Analysis of Variance (ANOVA) tests the hypotheses formulated to test demographic differences.Findings: The salient findings of this research are that Age, personal education, and monthly earnings have a significant difference in the context of financial literacy. However, parents' education and the monthly income of households have an insignificant association with financial literacy.Implications/Originality/Value: Financial literacy is crucial for financial inclusion, but it has a broad-spectrum impact on enhancing personal financial decisions to society's economic wellbeing of society. This research is significant to the government for forming policies for financial inclusion, financial consumer protection, and financial education. It is also of significance to learning institutions in assessing the discrepancies in the education system and building strong money management skills. And will be of assistance for researchers for a further detailed study on this phenomenon and its impact on other factors