Responsible Finance Forum

Financial Literacy Around the World: Insights from the Standard & Poor's Ratings Services Global Financial Literacy Survey

Leora Klapper, Annamaria Lusardi and Peter van Oudheusden
27 November 2015
Source:  McGraw Hill Financial

The Standard & Poor’s Ratings Services Global Financial Literacy Survey (S&P Global FinLit Survey) is one of the most extensive measurements of global financial literacy to date. The survey probes four basic financial concepts: numeracy (debt), risk diversification, inflation, and compound interest (saving). The data was collected in 2014 by Gallup as part of its Gallup World Poll and was analyzed by researchers from the World Bank and The George Washington University (Global Financial Literacy Excellence Center). The survey results come from interviews conducted with more than 150,000 adults in 148 countries. Of the 148 countries targeted for data collection in 2014, 144 countries successfully collected data and met Gallup quality standards.

The goal of the survey is to inform and empower academics, regulators, policymakers, and business associations to analyze, construct, and evaluate policies based on a sound understanding of the knowledge gaps that constrain and characterize individuals’ financial well-being and economic participation.