| Author | Choudhury, Gorango Kumar |
| Note | A project submitted in partial fulfillment of the requirements for the
degree of Professional Master in
Banking and Finance, School of Management |
| Publisher | Asian Institute of Technology |
| Abstract | Financial literacy is the ability of understanding of basic money management and financial concepts to make sound financial decisions and to ensure the economic wellbeing and development of the society. Financial market deregulations, credit availability, complex financial products or services and recent global financial crisis have encouraged employees to be financially literate. The empirical evidence shows that the level of financial literacy in Bangladesh is very low. This study tries to find the factors that affect the level financial literacy among literate and salaried employees in Dhaka City. The data sample of 80 salaried employees was collected using convenience sampling method to reflect the literate and salaried working class population in Dhaka City. Univariate and Bi-variate analysis method has been used to analyze the data. The result of the study reveals that the overall level of Financial Literacy among literate and salaried employee is not high. It is very low in the areas of financial knowledge: inflation, interest (numeracy), compound interest and risk & return. Undergraduate employees and female employees in the public sector are financially less literate. The study concludes that The level of financial literacy is affected by education, employment type, Financial Decision Making, work experience, sources of information & financial advice, no. of dependents whereas it is not influenced by age, gender, income and marital status significantly. Education has an influence on financial decision making, work experience, no. of dependents and source of Information and financial advice in terms of Financial Literacy. Recommendations of this study will give an insight to the employers and policy makers to set different strategies in policy formulation and education programs for different category of this group focusing on all the areas of financial knowledge. |
| Year | 2016 |
| Type | Project |
| School | School of Management (SOM) |
| Department | Other Field of Studies (No Department) |
| Chairperson(s) | Venkatesh, Sundar;Roy, Shyamol |
| Examination Committee(s) | Wijewardena, Weerakoon A.;Zimermann, Willi |
| Scholarship Donor(s) | Bangladesh Bank (Central Bank of Bangladesh) |