Financial fraudsters may have a tough time in the days to come, as the National Centre for Financial Education (NCFE) is catching students young to create awareness.
Backed by support Reserve Bank of India, SEBI, Insurance and pension fund regulators, NCFE will be conducting a national financial literacy assessment test for all school students from classes VI to X.
The test, to be conducted both online and offline, in a phased manner between November 2016 and February 2017. The registration process for the test has already commenced as per the details hosted on NCFE website.
“By conducting a national level test, NCFE plans to motivate school students (of classes VI to X) to learn the concepts of finance and also measure their financial awareness so that they inculcate an important life skills at an early age leading to sound financial decisions later,” it said in a notification.
The National Institute of Securities Markets (NISM) has been identified as the nodal agency for the implementation of the National Strategy for Financial Education. In this regard, NISM has set up National Centre for Financial Education (NCFE) with the support of all the financial sector regulators.
The Insurance Regulatory and Development Authority of India (IRDAI) had come with comic books and hand-books for high schoolstudents, which are being distributed in select schools.
The books contain attractive stories that try to weave the basic concepts of insurance, products, both traditional and unit-linked, the need for insurance and how to address problems and what mechanisms to choose.
The penetration of financial literacy in India is very poor. According to a survey conducted by the centre, only 20 per cent Indians are financially literate. It was 23 per cent among the males and 16 per cent among the females.