FINANCIAL EDUCATION AND FINANCIAL LITERACY PROJECT

BASIC FACTS

RUSSIA FEFL PROJECT – BASIC FACTS

  Investment Project, $113m (o/w $25m WB loan)   Implementation and supervision: WB procedures   Project period: IV 2011 – XII 2015   Target groups: (i) school-age and college students, and (ii) active and

potential low- and middle-income users of financial services.   Project objectives: (i) improve the financial literacy of Russian citizens

(especially among the target groups); (ii) strengthen the foundations for improving consumer protection in financial services.

  Long run objectives: (i) improve Russian citizens' prudent financial behavior and responsible participation in financial services markets, (ii) more effective protection of Russian citizens’ as consumers of financial services, and (iii) strengthening of Russian financial sector and public trust in it.

  http://web.worldbank.org/external/projects/main?Projectid=P120338&theSitePK=40941&piPK=73230&pagePK=64283627&menuPK=228424

HOLISTIC PROJECT APPROACH

FINANCIAL EDUCATION

FINANCIAL CONSUMER

PROTECTION

INSTITUTIONAL AND LEGAL

FRAMEWORK

INSTITUTIONAL FRAMEWORK (Component 1)

•  Development of National Financial Literacy Strategy,

•  Supporting operations of the Interagency Project Committee,

•  Supporting the work of the Expert Board, •  Strengthening the legal framework for the

implementation of financial literacy and consumer protection policies,

•  Development and implementation of the M&E framework.

FINANCIAL EDUCATION (Component 2) Capacity building – human capacity

 training a group of national experts in FL;   training regional teachers and tutors;  development of teaching and learning

materials;  providing ongoing methodical support to

the educators.

FINANCIAL EDUCATION (Component 2) Capacity building - portal

National financial literacy information & educational portal:

 single gateway;  real life problem focused;  plain language;  opportunities for self education.

FINANCIAL EDUCATION (Component 2) Capacity building – regional projects

 3 pilot + 8 participating regions;  Support to regional priorities + unified

programs;  Regional Centers for FE&FL;  Cooperation with private sector;  Regional monitoring and evaluation.

FINANCIAL EDUCATION (Component 3) Education Programs

 Focus on basic financial literacy skills ;  Special focus on

(i)  ensuring adequate post-retirement income; (ii)  avoiding excessive debts; (iii) creating financial cushion for life emergency

and crisis situations; and (iv)  resolution of financial disputes and ability to

assert rights on financial market.

FINANCIAL EDUCATION (Component 3) Information Campaign

 National coverage;  Clear messages;  Traditional media + internet;  Social networks;  Entertainment;  Training of journalists.

FINANCIAL CONSUMER PROTECTION (Component 4)

•  Strengthening the institutional setup (Consumer Protection Service) and the regulatory framework •  Improving dispute resolution mechanisms for consumers •  Enhancing consumer disclosure •  Prohibiting unfair business practices and strengthening business conduct •  Independent monitoring of financial consumer protection practices. (e.g. surveys, mystery shopping)

FINANCIAL EDUCATION AND CONSUMER PROTECTION

(Components 3 and 4) Fund of Good Ideas

 Supporting and scaling up the best ideas from the ground;

 Wide competition  Regions  Topics  Corporate / individual

 Competitive selection;  Supporting civil society or private

initiatives in financial consumer protection