TESTING OF FINANCIAL LITERACY MODULES AND SAVING MECHANISM TOOLS TO UNDERSTAND WHAT ENABLE WOMEN TO SAVE MORE

Principal Investigators: Dr. Ajay Kumar Tannirkulam, Deepti Kc
Research Team: Vanya Mehta
LEAD Centre: IFMR LEAD
Focus Area: Livelihoods, Savings
Project Geography: Bihar, Uttar Pradesh
Partner:
Status: Ongoing

Background:

The project aimed to design and develop context-specific and culturally relevant financial literacy modules to address the knowledge gap in financial products and services, and the underlying behavioural biases impacting financial decisions taken by women.

In the study in Kenya, economists Pascaline Dupas and Jonathan Robinson with Stanford University and UC-Santa Cruz respectively, discovered that by providing a safe and designated place to save money for a specified goal, respondents were less likely to indulge in “unplanned expenditures” such as “transfers to friends and relatives and luxury spending.”

Our randomized control experimental study in rural areas of Bihar and Lucknow, an urban setting in Uttar Pradesh, intends to look at the use of the lock box as a form of savings for women. By visiting the same respondents multiple times and educating them about the importance of savings using our financial education modules, we are allowing our respondents to inculcate the habit of savings Additionally, we are also conducting this experiment with men to understand how men and women behave differently when they are provided with the same financial tools, and financial education.

IFMR LEAD’s financial literacy modules also encourage men and women to save with formal institutions. We plan to test how men and women use formal financial channels available to them if provided with adequate information about the financial products and services.

Related Resources
COMIC BOOKS – Financial Literacy for women entrepreneurs
STORY BOOK – Financial literacy education of migrant workers
PROJECT SUMMARY – Livelihoods research translating research into policy and practice
REPORT – Filling the gap: Innovative and interactive ways to increase the savings of rural women in India
JOURNAL 6 – Innovative ways to improve the savings habit of women
PRESS – See you in the funny papers: women love comics about financial literacy
PRESS – Comics help women become super savers in India: see the pages