Financial literacy

Speaking Out

By ATTY. IGNACIO R. BUNYE

October 9, 2011, 11:39pm

 

MANILA, Philippines — Financial literacy: What is it and how is it important to us Filipinos?

Financial literacy, or awareness of basic financial concepts, is one of the advocacies of the Bangko Sentral ng Pilipinas (BSP).

The BSP has taken a proactive stance in embarking on a consumer education program that seeks to improve the Filipino public’s basic financial literacy.

At present, the BSP conducts a series of activities under its Economic and Financial Learning Program (BSP-EFLP).

The BSP-EFLP consolidates the BSP’s outreach educational activities under one flagship program. This program consists of a series of learning sessions and activities which seek to promote greater awareness and understanding of essential economic and financial issues.

The learning sessions and activities are expected to help the people make wise financial decisions.

The program is also an embodiment of BSP’s goal to promote economic and financial education among its stakeholders, who can more effectively become the central monetary authority’s partners in maintaining the efficiency of monetary policy and ensuring a stronger and safer banking and payments system.

The BSP-EFLP has the following component programs: The “Be up to SPeed on BSP,” which explains the role of the BSP in the economy; the “Paghahanda sa Kinabukasan” Financial Learning Campaign for Overseas Filipinos and Their Beneficiaries; and the Financial Education Expo, which targets the Filipino work force and students.

The “Be up to SPeed on BSP” covers topics on recent economic developments and the role of the BSP in the economy, with special emphasis on the three pillars of central banking: Price stability, financial stability, and efficient payments and settlements system.

The Public Information Campaign (PIC) also discusses The New Generation Philippine Currency in one of its sessions. It targets a broad audience, including students, faculty and other members of the academe, businesses, government agencies, and members of the media.

The “Paghahanda sa Kinabukasan” Financial Learning Campaign for Overseas Filipinos and their Beneficiaries (FLC-OF), on the other hand, is organized in coordination with the Overseas Workers Welfare Administration (OWWA).

It aims to educate participants on the importance of using remittances to build up savings and to invest in financial products and business ventures.

Through this special learning campaign, the BSP hopes to help overseas Filipinos and their beneficiaries attain financial independence and security, bring them into the fold of the formal financial system, and allow them to participate more meaningfully in the country’s economic development.

BSP officials, as well as officials from the Department of Trade and Industry (DTI) and the Department of Agriculture (DA), have been invited to give lectures on topics such as the importance of remittances, financial planning, investment and business options, and agri-business opportunities.

Lastly, the Financial Education Expo offers various financial education activities for students, employed individuals, and professionals.

It features learning booths with audiovisual presentations, graphic displays, and interactive activities that explain the importance of financial education, the Philippine financial system, basics of budgeting, saving, investing and borrowing, financial planning for life-cycle events, and credit card awareness.

The expo aims to help participants become self-reliant in promoting their financial welfare.

http://www.mb.com.ph/articles/337188/financial-literacy