Money is a taboo subject when it comes to children. They are neither expected nor allowed to learn about financial issues. But the tectonic shifts that have been observed in the global economy and are foreseen in Bangladesh have made it necessary to improve financial literacy among kids.
Children today must be taught how to cope with tomorrow. Because of this, there is a sustained interest in IT education. But the future poses to be not only technologically advanced, but also financially inclusive. The payment ecosystem is increasingly becoming non-cash, which makes consumption easier and more available. Credit-based consumption is also on the rise, adding flexibility to the process but introducing risks associated with mismanaging personal finances and contributing to economic damages. The envisioned mass availability and potentially harmful nature of money are risks that must be reduced through education, specifically, financial literacy. Early childhood, the formative phase of a person’s life, has a large influence on future learning potential. The aforementioned learning must therefore be attained at a very young age since it is not confined to subject knowledge, and extends to the domains of behavioral patterns and cognitive processes.
Financial literacy among children can be achieved through active participation of two change-agents: the school and the family. Instead of designing new subjects, the lessons can be integrated in existing disciplines such as social science, mathematics etc. This will smoothly embed the learning objectives in the curriculum sans the element of intrusiveness. The learning can be made engaging using the concept of gamification. An example of this may involve a ‘model currency’ disbursed among students and projects designed to monitor how well the children manage their personal finances. On the other hand, awareness among families, especially parents, can be raised using social campaigns.
The quality of a home is defined not just by the attributes of the house but also by the mindset and habits of its occupants. With one foot firmly planted in the quest towards a more financially inclusive future, development should also be focused on how to prepare the inhabitants of said future. People should be equipped to reap the benefits of innovations in the financial landscape, and reduce their vulnerability to associated risks. Early childhood financial literacy programs should therefore be part of the conversation, and routes to implement them should be considered before it is already late.
This article was written in 2018.
pi STRATEGY 