The Canadian Bankers Association is calling for financial education to be taught in schools, and for the private sector to play a role in improving financial literacy in Canada.

In a report submitted to the Task Force on Financial Literacy, the CBA makes several recommendations for the creation of a national strategy to increase the financial literacy of Canadians. One recommendation involves making financial education a mandatory party of the secondary school curriculum taught across the country.

“Financially literate Canadians are a vital part of a strong national economy,” said Nancy Hughes Anthony, president and CEO of the Canadian Bankers Association. “By directly educating students on financial matters within the secondary school system, we can ensure that all young Canadians have the strong foundation necessary to help them make sound financial decisions throughout their lifetime.”

A national financial literacy strategy should also tap into the broad expertise and experience of the private sector, including banks and other financial service providers, the submission says.

“Millions of Canadians turn to banks every day for products, services and advice to help them save, buy homes, start businesses and plan for retirement,” said Hughes Anthony. “Banks in Canada have much to offer when it comes to effectively reaching out to Canadians about financial matters.”

The CBA’s submission also highlights the key role that families play as a major source of information about personal money management and how to approach it.

A recent CBA study found that two-thirds of teenagers and nearly three-quarters of parents identified parents as the primary source of information about managing money and finances for teens. Furthermore, 92% of parents and 81% of teens reported discussing money and financial matters at home together.

A national strategy on financial literacy should recognize the influence that families have in shaping young people’s attitudes toward money, and should provide tools to help parents educate their children, the CBA says.

To ensure all Canadians can easily access financial literacy information and related materials, the CBA recommends that the federal government create and promote a single, online portal where Canadians can find financial literacy information, activities, tools, links to participating organizations and other related news and data. It suggests that a logical host to manage such a central hub would be the Financial Consumer Agency of Canada, which already provides consumers with valuable information on financial matters.

IE