28 January 2014

WSBI-ESBG comments on the draft OECD/INFE guidelines for private and not-for-profit stakeholders in financial education

WSBI-ESBG welcome the recently launched draft OECD/INFE guidelines for private and not-for-profit stakeholders in financial education. They believe that financial education is a topic of relevance on all retail banking markets.

WSBI-ESBG calls upon the OECD/INFE to continue with their pioneering efforts in the promotion of financial education, and more precisely with the development of guidance aimed at enhancing the design and coordination of national strategies addressed to improve the financial capabilities of national populations.

In particular WSBI-ESBG welcome all important steps that the OECD/INFE have undertaken in their endeavours to advance financial education efforts, and notably by leading pioneering research in the field, encouraging and coordinating stakeholders, pointing out challenges, and raising awareness on best practice so that they can be replicated.

WSBI-ESBG expressly refer here to:

• The OECD and Russian G20 Presidency Report “Advancing National Strategies on Financial Education”, published on 5 September 2013;
• The OECD working paper “Promoting financial inclusion through financial education”, published on 11 October 2013;
• The OECD paper “Financial Education and Women”, endorsed by G20 Leaders at their Summit in September 2013;
• Financial Education in Schools: Challenges, Case Studies and Policy Guidance (2014, forthcoming).

WSBI-ESBG believe that financial education initiatives greatly contribute to recover and strengthen the confidence of consumers in the economy and in the financial system, guaranteeing a healthy functioning of the economic system. WSBI-ESBG wish to warn, nonetheless, that there is a need to be reasonable on what can be achieved by financial education, and in this sense efforts should be concentrated on avoiding debt, and achieving long-term thinking in peoples’ behaviour. This implies reaching a certain level of frugality, self-responsibility, knowledge about the basics of money, and thus, the development of budgeting skills.

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