India is a country which has the second largest population on this planet however, its adults still struggle with problems like lack of financial literacy.
Here’s Why We Need Financial Literacy
Financial literacy is having the basic information about financial services and products, how they work and how it can benefit a person. There is a dire need for financial literacy in developing countries and especially in a country like India which has a population with high potential. A country needs to have financial literacy if they want to have a healthy economic environment and contribute to the world’s GDP as it helps to tap unbanked people and those who need financial services for better financial inclusion.
A survey conducted by Standard & Poor’s Financial Services LLC found that India’s financial literacy is very poor compared to developed countries and even the BRICS nation. On the one hand we are doing better than South Asian countries but lagging behind when compared to the BRICS nation (Brazil, Russia, India, China and South Africa). The survey found that India only had 27% financial literacy in a population of 132crore . Therefore, it’s high time we give this cause a thought and contribute to it on an individual level.
So how do I help?
You don’t need to have your own NGO to create and support a cause like this. Little contributions on your individual level can make a difference and create wonders for this country.
You can start with helping people whenever you can. The whole base of financial literacy is to teach people the concept like insurance, taxes, interest rates, inflation etc. You can take the initiative to tell a driver the benefits of an accident insurance, or a shopkeeper about fire insurance. You can explain the concepts of tax to your maid or security guard and why it is needed.
Apart from this, you can donate some amount of money to NGOs who are supporting this cause. A little money out of your income can help these NGOs to achieve their goal and the country’s goal as a whole. Another way to help is by giving your time. This can be done by helping and volunteering in NGOs, join community initiatives for better impact and volunteer in workshops that educate people like housewives, guards, domestic help and uneducated people from the lower end of the strata.
Teaching children and college students the importance of finance is also a step ahead as young generation have the potential to change the scenarios of a country. Hence, volunteering in schools and colleges contribute in that.
If you cannot contribute with either money or time then you can talk about it on social media. Hence, sharing financial content on Facebook, Twitter and other social media sites can help reach population of youngsters and tier 2 cities.
The crux here is to start a conversation about financial literacy and spread awareness about it. You can promote the advice of an expert, it can be anyone like an individual, an organization etc to create more relevance. The more we talk about this, the more we can motivate people to learn
Steven Pressfield once said, “Don’t cheat the world of your contribution. Give it what you’ve got” and you can do the same by trying to educate people in your own way.