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Bringing financial literacy and education to low and middle income countries : the need to review, adjust, and extend current wisdom

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  • Holzmann, Robert

Abstract

This paper presents a World Bank led and Russia trust fund financed work program to measure financial capability and the effectiveness of financial education in low and middle income countries. The two activities and their staging have been motivated by the lessons of high income countries with financial literacy programs and the deviating characteristics of low and middle income countries. While progress has been made in high-income countries to measure financial capability, there is little robust empirical evidence thatfinancial education can improve it. While applying the financial capability concept in low and middle-income countries looks promising it will need to be adjusted to their characteristic and supported by innovative interventions and rigorous impact evaluation to improve it.

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  • Holzmann, Robert, 2010. "Bringing financial literacy and education to low and middle income countries : the need to review, adjust, and extend current wisdom," Social Protection Discussion Papers and Notes 56501, The World Bank.
    • Handle: RePEc:wbk:hdnspu:56501
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    Cited by:

    1. Claude Bernard Lontchi & Baochen Yang & Yunpeng Su, 2022. "The Mediating Effect of Financial Literacy and the Moderating Role of Social Capital in the Relationship between Financial Inclusion and Sustainable Development in Cameroon," Sustainability, MDPI, vol. 14(22), pages 1-24, November.
    2. Carpena, Fenella & Zia, Bilal, 2020. "The causal mechanism of financial education: Evidence from mediation analysis," Journal of Economic Behavior & Organization, Elsevier, vol. 177(C), pages 143-184.
    3. Holzmann, Robert, 2010. "Bringing financial literacy and education to low and middle income countries : the need to review, adjust, and extend current wisdom," Social Protection Discussion Papers and Notes 56501, The World Bank.
    4. Cecile T. Niang & Mihasonirina Andrianaivo & Katherine S. Diaz & Sarah Zekri, 2013. "Connecting the Disconnected : Coping Strategies of the Financially Excluded in Bhutan," World Bank Publications - Books, The World Bank Group, number 13104, December.
    5. Bettina Greimel-Fuhrmann & Maria Antoinette Silgoner & Rosa Weber, 2015. "Financial literacy gaps of the Austrian population," Monetary Policy & the Economy, Oesterreichische Nationalbank (Austrian Central Bank), issue 2, pages 35-51.
    6. Lucia Dalla Pellegrina & Giorgio, Di Maio & Paolo Landoni & Beatrice Rama, 2019. "Activating women cognitive abilities: Impact of a financial literacy pilot program in India," Working Papers 412, University of Milano-Bicocca, Department of Economics, revised May 2019.

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    More about this item

    Keywords

    Financial Literacy; Access to Finance; Access&Equity in Basic Education; Education For All; Poverty Impact Evaluation;
    All these keywords.

    JEL classification:

    • C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
    • G29 - Financial Economics - - Financial Institutions and Services - - - Other
    • I22 - Health, Education, and Welfare - - Education - - - Educational Finance; Financial Aid

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