An educated woman feels empowered. Education liberates every woman by giving her the wings she needs. Add to it a bit of understanding about how money works and you will find how she soars high beyond expectations. Women are the bedrock of a nation, which is why you cannot dream of furthering a country’s goals unless you take the much-needed step to educate women about money matters.
Women should receive education on financial management and the navigation of complex integrated financial products. Women naturally possess a penchant for saving money, yet it is their investment practices that will significantly impact their families' economic autonomy.
Statistics have demonstrated that improved financial literacy among women leads to enhanced economic security, greater independence, and increased self-confidence, all of which are direct outcomes of their financial acumen.
As the world comes together to celebrate “International Literacy Day” on September 08, 2023, this year, we must ponder on ways to increase incidents of financial literacy among women.
Why focus on women’s financial literacy?
A woman experiences empowerment when she assumes control of her own financial well-being. Financially literate women extend their perspective beyond their family's income figures. They assess how money can be employed to advance their financial resources, mentally calculating the financial reserves required to achieve various short-term and long-term objectives before making investment choices.
Financial literacy transcends the realm of mathematics learned in schools; it encompasses a comprehensive outlook towards money. It entails acquiring the appropriate skills, attitudes, and behaviours necessary for effective financial decision-making.
Ranging from grasping financial products, market dynamics, and sources of financial knowledge to having the confidence to engage in financial discussions, financial literacy is pivotal in daily life. It empowers women to make informed financial choices that contribute to their financial security. Furthermore, educating women about finances has a cascading impact on a nation's overall economic growth and development.
Why do women need to be financially literate?
This is a question that is often asked and debated, thanks to the prejudices limiting women to jobs requiring communication skills alone. “Women are not good with numbers” is an age-long myth that has done more harm than good as women refrain from dabbling in subjects dealing with numbers. The misplaced fear that they will never be as good as their male colleagues has only fuelled unwarranted remarks against women taking up finance jobs.
What the world conveniently ignores are the benefits families gain from their women being adept at finance. Inducing financial literacy among women can help in myriad ways, which include:
- Financial literacy equips individuals to handle unexpected emergencies effectively.
- Women's financial literacy plays a crucial role in mitigating the impact of rising living costs and inflation.
- Mothers often exert a more significant influence on their children than fathers, so being financially literate sets a positive example for the next generation.
- In many households, women bear the responsibility for managing day-to-day expenses, making it beneficial for them to possess effective money management skills.
- Given women's longer life expectancy, acquiring financial knowledge is essential for managing their daily affairs and finances effectively.
Financially literate women experience increased confidence in their decision-making abilities. And if you are aiming for a society deeply rooted in equality, you must indeed focus on pushing its women to learn how to deal with money first.
