Plan for the Financial Education of the Public
The Bank of Lithuania with the Ministry of Finance, Ministry of Education and Science, State Tax Inspectorate and SoDra, acting together, aim to improve residents’ habits of saving for the future, encourage to rationally select financial products and services, and pay taxes fairly. To achieve these goals, in May 2017 the institutions jointly prepared and will implement a Plan for the Financial Education of the Public.
The Plan provides that the Bank of Lithuania will run a user financial education campaign, encouraging residents to rationally select financial products and services, and to save for the future. The Ministry of Finance, State Tax Inspectorate and SoDra will in turn inform residents about public finances, the benefits of taxes and social insurance contributions. In order to coordinate the efforts of the institutions, a Coordination Committee for Financial Education is being set up.
The Ministry of Education and Science will include financial and tax literacy in formal development programmes, provide possibilities for educators to improve and maintain qualification in the field of financial and tax literacy. Until now, schools in Lithuania had taught financial and tax literacy on an irregular basis, while the quality of development depended on the educator’s motivation, involvement, and interest in this subject.
Find out more about the work that we have done and ongoing projects in the field of financial education:
Integration of financial education into formal education programmes
The Bank of Lithuania, together with the Ministry of Education and Science, in early-2013 signed a cooperation agreement on the financial and economic education of schoolchildren. On the basis of the agreement, we initiated Lithuania’s participation in the financial literacy add-on for the Organisation for Economic Co-operation and Development (OECD) 2015 Programme for International Student Assessment, testing 15-year-olds on their knowledge of personal finances and ability to apply it to their financial problems. We also contributed to the financing of this study. The results of the international study were announced in May 2017. With the goal to have dynamic data and assess whether the selected tools are effective, the Bank of Lithuania also initiated an analogous study for 2018. The results of the aforementioned study are serious grounds to initiate changes in the formal education programme.
‘Young Wallet’. In 2016, together with the Ministry of Education and Science and the Education Development Centre, we organised creative workshops for the financial literacy project ‘Young Wallet’. Here, almost 70 teachers from Lithuanian schools, school representatives, schoolchildren, parents, representatives from informal educational activity organisations and various other institutions generated ideas on how schools could creatively and successfully teach financial literacy. The project’s continuation was a financial literacy contest for schools in Fall 2016.
Participation in the activities of financial education partners
We actively participate and contribute to the initiatives of education partners.
By participating in the volunteer project ‘Why do we need that?!’, we implemented the most projects out of the other project partners, garnering the greatest interest from Lithuanian schoolchildren over the past five years. E-lessons on financial literacy – ‘Personal finances? It’s easy’ and ‘Safe non-cash’– attracted a particularly large number of views.
In addition, we established a special prize for an educational fair for schoolchildren, organised according to the ‘Junior Achievement’ programme.
In collaboration with the association ‘Window to the Future’, we provided Lithuania’s libraries with information on euro banknote security features, safe use of electronic money, etc.
The importance of financial education is understood and supported by both financial institutions and users representing non-governmental organisations; therefore, we periodically organise meetings with financial market participants, actively operating in the field of financial education, and representatives of institutions engaged in financial education. At these meetings, we discuss relevant issues related to financial education, and negotiate on joint initiatives.
International financial education forum
On 12 November 2015, the Bank of Lithuania organised an international financial education forum, hosting representatives from Latvia, Estonia, Poland and Lithuania. International researchers Matthias Weber (from the Center for Excellence in Finance and Economic Research of the Bank of Lithuania and Vilnius University) and Leonore Riitsalu (from the University of Tartu and the Estonian Business School) shared their insights on how to apply the principles of behaviouristic economics, changing residents’ financial attitudes and encouraging rational behaviour with personal finances. Bianca Isaincu, representative from Child and Youth Finance International, presented how schools could develop financial literacy of children and youth and what measures could be taken in order to ensure wider possibilities for children and youth to use financial services securely at different stages in their lives.
Money Bee youth week
In 2015, the Bank of Lithuania, in cooperation with the Lithuanian Youth Council and the Youth Information Centre in Vilnius, organised events that were part of the Money Bee (pinigų bitė) youth week. Over 100 students attended the events, while over 1,000 of those interested in the management of students’ finances, their combination when creating a business, and other issues watched direct broadcasts.
Social campaign ‘Don’t slip on a loan’
In 2014, the Bank of Lithuania, together with media partners, organised a social campaign ‘Don’t slip on a loan’. During it, in collaboration with information partners, we made announcements on borrowing problems, prepared TV broadcasts, gave advice not only to those who are still considering whether they intend to borrow, but also those who are trying to escape the vicious cycle of debt. In total, the social campaign included 18 information partners, and, during the campaign month (February), 12 radio broadcasts went live and more than 100 pieces of articles and informational material were published.
Our e-lessons ‘Personal finances – it’s easy!’ and ‘Safe non-cash’ garnered significant attention from the country’s schools and teachers. In 2014–2016, almost 600 classes and 15,000 schoolchildren across Lithuania had the opportunity to learn about management of personal finances in a more interesting manner, as Money Bee, the Bank of Lithuania financial education programme, posted e-lessons where relevant advice on how to properly manage personal finances was presented. In 2015, particular attention was given to introducing the euro to children.
Bank of Lithuania National Financial Literacy Test
In 2014, the Bank of Lithuania, in line with the financial education programme Money Bee, organised for the first time the National Financial Literacy Test for residents who wish to check their finance management knowledge. This test was taken by almost 8,500 people across Lithuania.
Global Money Week
In 2013, when the Bank of Lithuania joined Child & Youth Finance International as well as seeking to encourage children’s interest in the activities of financial institutions and gain knowledge on how to deal with money, Lithuania began organising Global Money Week. More about Global Money Week.
Seminars for residents
From 2012, Lithuania’s largest cities – Vilnius, Kaunas and Klaipėda – began organising free-of-charge informative-educational seminars on personal finance management and responsible borrowing. They drew in 5,500 residents. According to the data from a survey presented to the seminar participants, 95 per cent of them claimed that they will use the newly acquired knowledge in managing personal finances.
The seminars are now recorded and available online.
Global Money Week and social network accounts
On 9 April 2013, the public was introduced to www.pinigubite.lt, the Bank of Lithuania financial education website. For the Lithuanian population, it is a source of impartial and reliable information on planning and managing personal finances. The website contains calculators and other tools that the users can use in comparing analogous financial products; also available is statistical information, information gathered through surveys, expert opinions on various financial issues, financial market news, etc. The website www.pinigubite.lt and ongoing financial education initiatives are also made public on Facebook and Youtube.