Core Competencies Framework on Financial Literacy for Youth

Standards for the basic level of financial literacy needed by young people aged 15-18

Financial literacy is widely recognized as a fundamental skill of relevance to young people. It is a complex construct, including knowledge and skills as well as a wide range of attitudes and behaviors that are clearly influenced by factors such as the socio-economic status, national context and access to a range of financial services. Recognizing this complexity, several countries have developed frameworks to identify the components of financial literacy that are of relevance for youth. These national financial literacy frameworks are a valuable source of guidance to policy makers, teachers, other financial education providers and parents seeking to align learning goals with expected competencies and outcomes. They identify topics of relevance within the country context and some are specifically tailored to the current education system or national curriculum.

A harmonized, international core competencies framework provides an opportunity for all countries to benefit from a global approach to describing financial literacy. This document discusses the objectives and key components of the Core Competencies Framework on Financial Literacy for Youth developed by the OECD International Network on Financial Education (OECD/INFE), and presents the flexible, outcome-based, core competencies framework itself. It describes the basic level of financial literacy that is likely to be needed by all young people between the ages of 15 and 18 to fully and safely participate in economic and financial life. It also describes the more advanced competencies that may be expected among a portion of this age group, particularly in countries where they may be required to make decisions about more sophisticated financial products.