Financial literacy is the ability to understand and effectively use various financial skills to manage and invest money. The literacy rates in post-Independence India have seen a gradual rise, however, financial literacy in the country is still at the nascent stage. According to a study by SEBI, 27 per cent of India's population is financially literate. This has even less representation from rural region and women. The cultural and societal barriers in the country prevent many women from participating in financial decisions.
Compared to other countries, India lags behind in financial literacy. In countries such as the US or Germany, financial education starts at an early age and is often built into the school system. On the other hand, India's financial literacy programmes are still evolving.
With an aim to empower and educate women by making them financially literate, Vidhi Miglani, student of Class 12 at DPS Kaithal, Haryana has created DhanSarthi, a digital platform that provides financial knowledge to women. Speaking about her initiative, Ms Miglani told NDTV, "Through DhanSarthi, we have been able to make a real impact on the ground. So far, we have helped over 5,000 women across four states gain financial knowledge and access to banking services. Our organisation has conducted 175 awareness drives, partnered with major banks, and helped women open bank accounts, enroll in government schemes like Sukanya Samriddhi Yojana, and even form microfinance groups"
"Our peer-education model has been particularly successful. We have created a network of 200 community leaders who continue to spread financial education," she adds.
Sharing insights on the challenges faced by her while introducing the initiative, Ms Miglani says, "One of the biggest challenges has been breaking through the cultural and social barriers that often discourage women from being involved in financial matters. Initially, many women were hesitant to even attend our workshops, as discussing finances was not something they were used to. Another challenge was the language barrier."
"Getting women to trust the banking system was tough because many had bad experiences with incomplete documentation for government schemes. But by patiently addressing these issues, building trust, and offering practical solutions, we have been able to overcome these hurdles," she adds.
Ms Miglani further hopes to create more financial literate women by implementing the initiative across the country. She says that educating a women creates a ripple effect each women empowered further goes on to empower others.