Financial Literacy A Need of an Hour for Nurturing Lives and Livelihood: A Study on Households in Central Region of Uttar Pradesh in the Pre Covid-19 Scenario

Abstract

Background:  The Indian economy has witnessed a rapid financial transformation in the recent time period. And with this rapid financial transformation the economy has also witnessed shift in the planning for financial responsibilities like children education, retirement planning, planning of funds for financial emergencies etc. from employer to employee which ultimately led to the growing importance of financial literacy. The purpose of the study here is to ascertain financial literacy level of Households in the Central Region of Uttar Pradesh on the basis of basic and advance financial literacy questions and also highlights the significance of financial literacy in Post COVID-19 scenario. Method: The present study considers primary source of data. A total sample from 394 Households by way of non-probability sampling convenience sample method was selected from Central Region of Uttar Pradesh to determine the financial literacy level. Result: The findings of the study revealed that more than half of the household respondents were found low in financial literacy level and lack in financial numeracy concepts as well as to cope up with financial emergency situations. Conclusion: The results clearly showed that there is urgent need to educate individuals about managing personal finance for present as well as for future emergencies which help them to face the obstacles as prevalent at present in the form COVID-19 and ultimately help them to nurture their live and livelihoods.