The majority of adults (57%) have primary education or less. The level of education has implications on financial literacy. Formal education systems provide numeracy and comprehension skills. This includes a general awareness of formal financial products, how they work and skills such as budgeting. The implicit knowledge gained from educational systems also improves the comprehension of financial terms of new products on new platforms enabling a transition from traditional financial practices (saving in kind, postal saving book, etc.) to contemporary options (annuities, policies, etc.).
About 8% of the adult Malagasy have received technical assistance training mainly on farming or agriculture channels with only 6% of them being financial education programs and 3% on farm management. With generally low levels of income – 70% living on under $2 a day, control over finances become imperative. FinScope reveals that at least three in four adults have control over how their money is spent. More females (79%) agreed to have control over their money than males (75%). However, more female adults confirmed to have higher proportion of running out of money for basic needs such as food or medicine (10%) than males (7%).
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