Analysis of financial literacy in high school education: case of study Bucaramanga – Colombia

Abstract

[EN] Financial literacy is well-known as a crucial skill today. Since an early age, people are exposed to the management of financial products and digital platforms, which have facilitated access to financial services. However, there is a prominent lack of knowledge about how to manage them wisely. The lack of financial knowledge and proper education in this regard boost people to make financial mistakes that finally impact their decision making process. For this reason, the teaching of financial issues has taken on an important role in the educational policies in many countries. This process is quite important for young people because it will provide them the proper tools to making the right decision about managing financial products and services in their adult life. Therefore, the present research aims to study the level of financial literacy among high school students. To this end, an internationally validated diagnostic tool was identified for determining the level of financial literacy, to establish a baseline as recommended by several authors. This tool was applied to high school students in the city of Bucaramanga (Colombia) and its metropolitan area. Higher education institutions involved contemplated in their Institutional Educational Project (PEI) a training in economics and finance to determine students’ levels of financial literacy. Based on the obtained results, the level of financial literacy of the students was assessed. The findings show the need to join forces in the implementation of financial education in Colombia, through the articulation of stakeholders in the development of a comprehensive educational program to achieve the desired objectives, as well as the important role of parents’ involvement in the implementation of these programs. Consequently, the research recommends the implementation of new policies to evaluate the performance of financial education in the country and its real effect on people’s knowledge and financial behavior.