chapter  8
Challenges in Evaluating Financial Literacy
BySandra Speer
Pages 12

This chapter points out some gaps in the evaluation of financial literacy and financial education programs and show directions in which evaluation could move in this field. It discusses the various goals of financial education programs and then different content areas. The chapter points out challenges in measuring financial literacy, and the current practice of evaluation in the field. Financial education has perhaps the longest tradition in the United States, where it entered school education many years ago due to rising complexity of financial products and a larger responsibility for individuals compared to countries being characterized as traditional welfare states. Financial education in developing countries is faced with generally lower levels of formal education and a lack of access to information. The Financial Education Fund, which supports innovative projects in Sub-Saharan Africa, released a Monitoring and Evaluation Toolkit, which gives an overview on evaluation basics in general and includes examples from the financial education sector.