What does Global Money Week teach us?

What does Global Money Week teach us?

Money management seems to continue to be one of the main issues that adults face difficulties. Most adults have adapted to financial habits once they have had a source of personal income that is usually from work. Meanwhile, children do not take money management as knowledge through school education, but through family education. However it seems that this situation may change. Did you know that there are different ways children today can learn more about money? Global Money Week, an initiative organized for Children and Youth, is an annual financial awareness campaign built to inspire children and young people to learn about issues related to money, lifestyle, and entrepreneurship. Year after year, participating in Global Money Week becomes even more important. Recent international data show that most young people are not able to perform very simple calculations regarding interest rates. “Financial ignorance” puts in difficulty children and young people in developing countries and economies in transition.

Many education systems around the world do not pay enough attention to financial literacy. In many cultures children are expected to learn about money from their parents or family members, but some parents are not educated about money themselves first, and in many cases have financial problems. Research has shown that the earlier children learn about money, saving and investing, the better they will be able to manage their personal finances when they are older. Financial education at an early age helps children develop the skills to make better financial decisions regarding student loans, housing, first car, travel and other expenses. These skills help children and young people understand the difference between earning, saving and spending, making them better managers, capable of practicing healthier money management habits.

There are also some practical reasons why financial education should start early. A number of children do not complete their basic education and as a result do not receive a degree, reducing their potential for a better future. In order to help these children, we need to reach out to them while they are still in school. For this reason, the focus should be on educating children in primary and secondary school. The essential elements of this approach are fully in line with the theme of Global Money Week, which this year is “Take care of yourself, take care of your money”. While the first part of the sentence relates to the current pandemic situation, the second part shows us how important money management is.

How to teach children to manage money wisely – Educating children and young people about their social and economic rights and responsibilities is essential to create a generation of adults who can make wise decisions for their future.

Saving for their future – It is important for children and young people to build healthy saving habits at an early age in order to cultivate key money management skills later in life.

How to Make Money Taking Care of Yourself and Their Families – Developing life skills or getting entrepreneurship training helps children and young people to be constantly educated and achieve their goals of having a career in the future and a job with a secure source of income, even increases the chances to build in the future their own business or have a successful career.

We believe that today’s children and young people should become economically empowered citizens, able to understand the importance of saving and equipped with the skills to find work and create a life with high standard. We want young people to learn to manage their money wisely. By empowering children and young people, we can help them transfer their knowledge to their families and community. Global Money Week is a global event, where all the actors of the society can participate and be involved in these important topics, from the youngest to the oldest.