2010 ─ The Word on the Street

THE WORD ON THE STREET Views on Finance for Children And Youth

ChildFinance

YouthFinance

THE WORD ON THE STREET JUNE 2010

Aflatoun would like to thank the following partners for their invaluable help in the creation and dissemination of this survey, and for supporting the vision of ChildFinance: Aflatoun Network and Partner Organizations Ashoka Bankers without Borders The Basel Committee on Banking Supervision Childhelpline International Child Fund Children International Citi Foundation Clifford Chance CRIN Global Alliance International Child Support Jacob’s Foundation McKinsey & co.

New America Foundation OECD Plan International The SEEP Network Skoll UNICEF Volans The World Economic Forum/Schwab Foundation World Savings Bank Institute

This publication is co-authored by

and

Many thanks to the Aflatoun family – staff (Abram, Alodia, Ana, Bernice, Bram, Elizabeth, Hassan, Hayley, Jeroo, Lubna, Maartje, Menno, Natalie, Oliver, Paul, Rediet, Sandy, Simon and Valerie), interns and volunteers who made this publication possible. A special thank you to John Elkington and Alejandro Litovsky.

Design and Printing

and

1

THE WORD ON THE STREET JUNE 2010

Executive Summary Aflatoun has been providing children with Social and Financial education since its inception in 2005 and has grown from a small project in India to an international program adopted by a network of partnering organizations in 84 countries.

Currently implemented in schools and non-formal education centers in 41 countries, the Aflatoun program has taught 800,000 children about their rights, built their self-esteem and self-confidence and introduced them to the basics of finance through learning to save, budget and conduct small-scale enterprises.

Building on the experience of Aflatoun and its partners in the field, and learning from other players involved in children and youth finance, we have come to realize that for children to become fully financially empowered and protected, there needs to be a system in place that encourages their understanding and access to the financial sector. Thus, in an initiative we have termed ChildFinance, we are looking at how best to create such a system.

To build a strategic framework around this issue, we laid down a few key themes which we believe to be central to ChildFinance. We then asked experts from across many sectors related to children and youth rights and financial topics to provide their input, based on their experiences and perspectives. We also wanted children to participate in the strategy formation process. We asked for their input to ensure that their needs are met.

This was accomplished through the creation of two surveys, one aimed at experts and the other at children. These were distributed through professional networks and through online social media. Through the surveys, we wished to seek input in order to validate or challenge the concept of ChildFinance and its key elements.

This document is not an in-depth research document. It attempts to analyse trends emerging, and how they validate or differ from the underlying assumptions of Aflatoun. It also highlights the most striking differences between

the views of the children and those of the experts, highlighting which of these elements need further investigation.

A total of 414 responses were received. Responses for the experts’ survey came from 204 applicants from 20 countries, while the children’s’ survey gathered responses from 210 children from across 31 countries. Trends that were perceived from the data have lead to the development of the following strategic focuses for ChildFinance.

Education: Social and Financial Education was perceived as an essential focus for ChildFinance, with suggestions for the inclusion of modules dedicated to money & sustainable investment management Access: The provision and ease of access to children’s financial products and services was supported by experts and children alike.

Media: Awareness around the issue was highlighted as a key success factor for a movement in ChildFinance. Children expressed an interest in film and games to support learning and for advocacy.

Influence: Regulation and policy reform were strongly supported by experts, who believed that these were necessary to ensure financial security and stability for children, and to safeguard their best interests.

Research and quality control was seen as a key complement to these core activities, as was the creation of a network of major stakeholders from across various sectors. Suggestions were put forward for a supervisory body to oversee the activities of ChildFinance.

Based on these learnings, an updated strategy framework has been developed. It will be further explored, debated and concretized at the ChildFinance Experts’ meeting, resulting in a strategy for a movement that will help ensure the protection and financial empowerment of millions of children across the world.

2

THE WORD ON THE STREET JUNE 2010

Contents Executive Summary Introduction and Background The Surveys Data Collection Results Section 1: What the Experts Say Introduction Respondents Barriers and Enablers Expectations of Financial Institutions Legislation Building the Field Success Factors and Milestones Conclusion Section 2: What the Children Say Children’s Opinions on ChildFinance What Children want to learn Which bank structures/ products would facilitate the children’s involvement When I’m an Adult.

Section 3: What We Have Learnt The Way Forward Annex 1: List of Countries of Children and Youth Respondents Annex 2: Profile of Respondents of Experts’ Survey Annex 3: Sector Mapping Annex 4: Expert’s Survey Annex 5: Children’s Survey

2 5 5 6 6 7 7 7 8 8 9 9 10 12 12 13 13 14 26 16 17 19 19 21 32 39

How this document is structured To maintain the different responses of the different surveys, and learn from each, this document has been divided into three sections.

Section 1 focuses on the responses from the experts’ survey.

Section 2 focuses on the children’s feedback, thoughts and comments Section 3 focuses on the similarities and differences in the experts’ and children’s views

3

THE WORD ON THE STREET JUNE 2010

Child: “A child means every human being below the age of eighteen years unless under the law applicable to the child, majority is attained earlier.”- UN Convention on the Rights of the Child.

For ChildFinance, in exceptional circumstances, the age can be extended to up to 25 years old

Finance: “The science that describes the management of money, banking, credit, investments and assets.”

“The study of money and how it is used. Finance considers the relationship of money to time and risk.” - Investopedia, Farlex Financial Dictionary

ChildFinance: “Empowers children to believe in themselves, think differently, be entrepreneurial, save and make sound financial decisions so that they will invest in their futures”

ChildFinance Movement: “The creation and strengthening of systems, structures and policies which will facilitate the process of children believing in themselves, thinking differently, being entrepreneurial, saving and making sound financial decisions so that they will invest in their futures”

At Tanyag elementary school in the Phillipines, children set up a stationary store with seed money given to them by Plan Phillipines, one of Aflatoun’s implementing partners in the country. The school allowed time before the start of school (morning) and during breaks, to have the children set up their store and start selling their products. The whole process is coordinated by students; budgeting, purchasing, stocking, and selling the supplies at a profit. These profits are divided monthly among those who participate. This small enterprise has been an important achievement for the students, especially because their school is far from the town centre where they used to buy their school supplies before they had this new idea.

As a result of the financial crisis, the parents of 17 year old Mark from Colorado, had been recently laid off and were facing eviction as they were unable to pay their mortgage. Mark felt like he was a burden to his family, and so decided to leave home without telling his parents. He moved to California, where he was forced to live on the streets. Finally, a month after leaving home, he called a children’s helpline asking to be taken back home. The helpline reunited him with his family.

4

THE WORD ON THE STREET JUNE 2010

Introduction and Background ChildFinance is a concept that builds its foundations on the work and experiences of Aflatoun, a network of organizations dedicated to providing Social and Financial education to children aged 6 – 14. To date, the Aflatoun program has introduced 800,000 children to the basic concepts of finance, such as saving, budgeting and planning for the future. To complement this learning, Aflatoun places a strong focus on social education, encouraging children to believe in themselves and understand their rights as outlined in the United Nations Conventions of the Rights of the Child.

The Aflatoun program is a hands-on program, encouraging children to actively save at home, at school, and, whenever possible, within formal financial institutions. Students of the Aflatoun program set up their own small-scale enterprises of a social and financial nature, often as part of a club, and at times generate income from these. 4972 enterprises have been set up by children currently in the program. On average, children are saving the equivalent of €0.54 cents each month and, in total, Aflatoun children save around €2.16 million per year.

As the Aflatoun network expands its scope to over 84 countries - 41 of which have the Aflatoun program running in schools and informal centers - it is gaining a unique insight into the opportunities and the challenges presented to children as they attempt to integrate into the financial sector.

Financial systems have yet to recognize children as important stakeholders whose financial safety must be ensured. A prominent example of this has been the major yet little-documented effect of the financial crisis on children. As a particularly vulnerable age group, children have experienced higher school drop – out rates, lower nutritional intake and decreased healthcare .

ChildHelpline International – a network of child helplines that receives 14 million calls a year – has reported a higher number of distress calls by children attributed to the recent economic hardships that they and their families have endured over the past two years.

In light of the current situation surrounding children and finance, Aflatoun has begun to explore the means of creating linkages between children and financial systems.

1

We believe that it is critical that children grow up in an environment in which systems, processes and products exist for their financial protection and which support their understanding and access to financial systems. We believe the key to allowing children to break the cycle of poverty lies in this.

Is Aflatoun alone in sharing this belief? Are Aflatoun experiences similar to those of other organizations engaged in children’s finance? Are the key themes of ChildFinance as indicated by Aflatoun complete and correct in their assumptions? To answer these questions, and many more, we have set out to validate or challenge the learning and vision of Aflatoun and its partner organizations by consulting experts and the children themselves. Two main activities have been dedicated to this task: firstly, surveys were conducted with experts and children to get their feedback on the concept of ChildFinance, and, secondly, an experts meeting will be held, wherein experts will share their knowledge, expertise and opinions. The results of both will be used to create a framework for a strategy for a ChildFinance movement.

The Surveys To capture the opinions, feedback and expertise of important players in the field of ChildFinance, including the children themselves, Aflatoun favored surveys as a simple and effective tool. The children’s survey was created to ensure that the voices and opinions of children be heard and that they remain an integral part of the decision making processes.

The surveys were designed to discover more about the current need for ChildFinance, assess the importance and relevance of the components deemed essential by Aflatoun to the relevance and success of an Aflatoun movement, and determine the key activities and supporters needed - as well as highlight any topics which may not have previously been considered by Aflatoun.

Two surveys were created: an experts’ survey which was circulated to thought leaders, academics and practitioners in various aspects of children’s finance, and a children’s survey which was circulated to children and youths aged between 6 – 20 years from diverse socioeconomic backgrounds.

Before distribution, the experts’ survey was sent

http://www.wfp.org/stories/financial-crisis-pushes-poor-families-deeper-into-hunger

5

for review to partners at Citi, Clifford Chance, Duke University, McKinsey & Co., Skoll Foundation, UNICEF, Volans, The World Bank, and World Savings Banks Institute. The Childrens’s survey was pre-tested before being distributed.

THE WORD ON THE STREET JUNE 2010

Data Collection Experts’ survey To guarantee a representative sample, the experts’ survey was distributed through social media, particularly through the LinkedIn online network, and other professional networks including Aflatoun’s own network, Ashoka, Bankers without Borders, The Basel Committee on Banking Supervision, Childhelpline International, Child Fund, Children International, Citi Foundation, Clifford Chance, CRIN, Global Alliance, ICS, The Jacobs Foundation, MasterCard, McKinsey & co., The New America Foundation, OECD, Plan, SEEP, Skoll, UNICEF, Volans, The Schwab Foundation, World Economic Formun and The World Savings Bank Institute.

Having circulated the survey through these professional networks, and effectively distributed them to a preselected group, Aflatoun remains mindful that a certain bias may exist, which may appear in the results of the survey. Survey applicants were, by default, people who exhibited an interest in children’s finance – as was the objective.

In the distribution of the survey, language proved to be the most prominent hurdle to overcome. As the results of the experts’ survey began to come in, we noticed a lack of respondents from the South American region. To resolve this, the survey was translated into Spanish. This resulted in a 5% increase in the number of respondents from the region.

media such as Facebook. This method was most effective with children from developed countries.

Based on our experience with the experts’ survey, we made sure to translate the children’s survey into 4 languages: Arabic, English, French and Spanish.

The major challenge which faced the children’s survey was attempting to maintain a balance between the responses from children in developing countries versus developed countries. The availability and access to the internet played a major role in this imbalance.

Furthermore, focus group discussions carry with them unique challenges such as possible biases from facilitators and uncertainties that some of the questions may be lost in translation.

Results Through the surveys, we have attempted to capture cultural and regional perspectives on ChildFinance and steal a glance at the current trends and opinions. For this reason, the sample size has been kept small yet representative. The surveys, and indeed this report, do not attempt to be a detailed or rigorous mapping of the field. Rather, they are used as a means to cast a glance at the trends currently surrounding children’s finance and revalidate or question the experiences and learnings from Aflatoun and the calls received by Children’s helplines.

To maintain the different responses of the different surveys, and learn from each, this document has been divided into three sections.

Section 1 focuses on the responses from the experts’ survey.

Section 2 focuses on the children’s feedback, thoughts and comments Section 3 focuses on the similarities and differences in the experts’ and children’s’ views

Children’s Survey The dissemination of the children’s survey required another approach. Since we were targeting children from both developed and developing countries , we decided on a two- pronged approach which incorporated focus groups and dissemination through social media.

Surveys were sent to Aflatoun partners globally - mostly local NGOs working directly with children. The partners then conducted focus group discussions with children and relayed the results back to the Aflatoun secretariat.

Among the children interviewed were street children (as in India) and migrant children (as in China). The survey was also made available online and circulated using social 2

For a full list of countries please refer to Annex 1

6

THE WORD ON THE STREET JUNE 2010

Section 1 : What the Experts Say Introduction The experts’ survey was created to gain feedback and input from a cross section of experts on key topics, themes and potential activities of ChildFinance. These were identified by Aflatoun based on its experiences and that of its partners, as well as conversations with key players. The results were used to re-examine the key elements of ChildFinance and gain a broader perspective.

The survey begins by seeking input regarding the proposed enablers and barriers to the movement. The term enabler refers to catalytic events, decisions or activities which help form and drive a ChildFinance movement. The survey then focuses on the role of financial institutions in the ChildFinance movement.

Questions on legislation follow, collecting feedback on what legal reform and what governmental supervision is deemed necessary, if any. The survey concludes by attempting to map where the field currently stands and explore the type of support that can be gained to build a movement in ChildFinance.

Respondents 204 responses were received from experts from 20 countries representing the non-profit sector, academia, research institutions, banking, banking regulation and the child rights sector. A large number of respondents assume leadership roles within their respective organisation. A detailed overview of the respondents can be found in Annex 2

Barriers and Enablers Barriers The experts’ survey highlights the following key barriers which hinder children and young people from acquiring financial skills. They are outlined in Graph 1.

• 93% said lack of understanding of money and resources hinders children and youth’s development into adulthood • 86% identified limited access to savings mechanisms and the existence of unsafe savings mechanisms as barriers.

• 85% believe that school attendance and children’s continuation into further high school education are negatively impacted due to lower levels of social and financial education.

• 81% of the respondents agreed that low entrepreneurial skill development was due to low or no investment options.

In addition to the questions asked in the survey, the respondents highlighted the following topics which impede the development of financial skills amongst children and youth.

• The limited or minimal role parents play in providing financial education. Some noted that the parents themselves did not know how to manage their money and found themselves in debt or facing severe financial difficulties. Others mentioned that parents do not discuss money with children, and in sheltering them, do not give provide children with a basic level of financial competence.

Graph 1 : Hinderances to the development of Financial Skills of Children & Youth n Lack of understanding on how to best to use money and resources n Low personal Savings due to limited, unsafe or no effective saving options n High drop-out rates and low school take-up rates due to limited access to finance n Low entrepreneurial skill development due to low or no investment options.

7

THE WORD ON THE STREET JUNE 2010

• A consumerist culture which discourages savings and promotes spending on non essentials.

• The lack of awareness or access to insurance, financial products and services promote debt and hence can affect and lead to a family in financial crisis • While entrepreneurship is an important aspect of children’s finance, it should remain one of several options for income generation. Not all children have strong entrepreneurial skills. Aflatoun does have entrepreneurship as a key element of its curriculum, and so would need to explore this aspect with partners in the field.

Enablers A number of experts expressed their belief that the key enabler was financial education for children and young people as a precursor to the development of products and services. Some suggested that the curriculum should be provided to children as young as 4 years old and continue until the age of 18 or through university.

An interesting new angle which was highlighted was that parental financial education should be linked to schools.

It was suggested that this could be sponsored. Aflatoun has observed that children have motivated their parents to start bank accounts or start saving but has not taken this on as systematic input into the curriculum. It would be an interesting aspect to consider while going forward.

The availability of and access to financial products and services for children and youth was also identified as an enabler. Based on the survey, experts agreed that financial products or services aimed at children should

be part of the global agenda, for expanding financial empowerment of children. This can be seen outlined in Graph 2.

At a broader level, we looked to explore other activities and steps that financial institutions could take to further the ChildFinance movement. Aflatoun believes that the success of the ChildFinance movement rests on the level of cooperation and commitment of financial institutions in making a conscious and unified effort to provide products and services for children and engage in child – friendly practices. Through the survey, we tested this notion to see to what extent, and in which ways, financial institutions could assist the ChildFinance movement.

Expectations of Financial Institutions The results show that 88% of the respondents think banks and financial institutions should play a key role in the movement by: • Sponsoring school-based, NGO-implemented education programs • Introducing child-friendly savings accounts (children and youth receiving higher interest rates, low or no transaction costs and facilities which make banking fun for children) Based on Aflatoun’s experience across the world, such support in the field by banks and financial institutions has not yet reached this level. While some banks have products targeted at children and others have recently started financial education, Aflatoun is not aware of any financial institution or bank with an integrated policy for children’s financial services.

Graph 2 : )'*+%(,-'$$./%&,-0.#-$1+23#"%45567Potential Children & Youth Financial Products or Services

556- 596:M65M69M6JM6EM6DM6-

D96-

D86GE6G86-

GM6-

LM6-

LM6-

J6-

8M6-

;1+23#"%<,-,'*+%(,-'$$./%&,-'&-=+#&1->+&1? n Savings accounts for children(88%) >+&1./&-(.*"#%@"%&-$.%&#+=/A.%-45967n Children’s savings accounts at birth B%*",&@"%&-C#.3/$&,-0.#-$1+23#"%-4D967with/without government contribution n Investment products for children )$1..2-2.'%,-0.#-$1+23#"%-4D867n School loans for children n Targeted insurance products for F'#('&"3-+%,/#'%$"-C#.3/$&,-0.#-$1+23#"%children n Tele-banking services F"2"H='%I+%(-,"#*+$",-4G867n Children’s Stock exchange n Other ;1+23#"%<,-)&.$I-"K$1'%("-4LM67-

M6()*+,%-.'$#+'01)2"%1.'

N&1"#-4J67-

8

THE WORD ON THE STREET JUNE 2010

It is encouraging to see that ministries of finance and economic affairs have now started considering child social and financial education an important aspect on which to focus. However, it is not the general view of governments that finance for children and youth is a basic economic right. Thus, there are no integrated national policies for children or youth finance.

what experts had to say about the field currently; what they think needs to be done to further develop the movement; and, how they see their role in accomplishing this. Aflatoun has come across an increasing number of international and national nonprofit organisations which are starting to introduce the concept of social and financial education and children’s savings into their activities. Aflatoun is familiar and has worked with some of these organizations3.

An important note of caution was highlighted through the survey, in which experts expressed a worry that banks may begin to regard children as revenue tools, which may While the growth in the activities surrounding children’s lead to a potential exploitation of the children. financial topics is highly encouraging, there is still a great deal to be done around the inclusion of children and Legislation youth finance into the activities of organisations.

In response to this, and to ensure children’s safety, several respondents have asked that governments play a Results from the survey show that: very strong regulatory role in the movement right from • 77% of the organizations represented do not include the onset. 63% of the respondents would like a code of child financial rights in their organizations policies conduct for banks and private organisations and some currently. overall banking regulation in the field of child finance.

This is primarily to ensure that children are protected.

• 68% of the organisations stated they have not Of these, 30 % have cautioned that the code should be participated in any financial products for children. The facilitative rather than restrictive. Some have suggested primary reason stated for this is not lack of intent, but a multi stakeholder approach towards creating a code lack of organizational expertise in the area. The other of conduct, with central banks, regulators, multilaterals key reason is a lack of regulation in the area. For banks, such as UNICEF, and NGOs jointly collaborating at the the low (or lack of ) revenue as a result of offering the national level to determine a regulatory framework. No product is a major deterrent. Outlined in Graph 3 are concrete suggestions or examples of codes of conduct the key obstacles which organizations believe need to were shared in the survey. be overcome as the field evolves.

Building the Field The conclusion of the survey examined the following:

It is clear, however, that despite the current barriers that stand in the way of organizations’ ability to include

Graph 3 : Obstacles to be Overcome Before Developing the Field n Lack of operational expertise n Laws and regulations preventing children from access n Low or no revenue through products targeted at children n Lack of relevant technology to ensure ease of access n Children viewed as high risk customers due to irregular family income n Other 3

Please turn to Annex 2 for a sample of key organizations of which Aflatoun is aware

9

THE WORD ON THE STREET JUNE 2010

children and youth finance into their mission or provide financial products and services, there is a strong interest and willingness to do so.

75% of all applicants want to start including childrenâ&#x20AC;&#x2122;s financial rights in their mission of their organization.

The key reasons for wanting to include child finance in the organisationâ&#x20AC;&#x2122;s overall agenda included: the current economic environment, the availability of finances and increased interest from central banks and policy makers.

When asked how applicants envisaged the role of their organization in shaping the ChildFinance movement, many respondents believed they could help in the following ways: Implementation: 64 % said they would be willing to implement programs dedicated to childrenâ&#x20AC;&#x2122;s finance, while others would assist in developing a strategic framework for financial education. Other suggestions included capacity building and teacher training.

Advocacy: 62% of respondents were willing to help with awareness and advocacy, which included lobbying with banks, mobilizing support around a ChildFinance day or week, advocacy through press and other media and working towards a ChildFinance year.

Research: Documentation and evaluation: 50% said they would assist the evaluation of programs. Some suggested assisting in the documentation of best practices. This response was given mainly by academics and researchers.

Resourcing the movement: 44% of respondents said they could provide financial resources to the movement and another 39% were open to providing pro-bono support. This reflects the positive orientation of banks, donor organisations and corporations and their willingness to help the movement.

Regulatory reform: regulatory reform was another area of support offered, especially from central bank and government representatives taking part in the survey. 24% volunteered to assist in the formulation of regulatory reform, while another 11% believed they could help enforce new regulation. Banks and financial institutions expressed an interest in the development of financial products and services for children and youth, such as savings accounts and micro-insurance products.

Other offers of adding value to the field included media support and linkage to other implementing partners.

Respondents representing governments offered to create greater linkages within ministries of education to advocate for the inclusion of social and financial education curricula development, to ensure teacher involvement and their support for ChildFinance.

Success Factors and Milestones One major success factor identified for the success of the movement was the garnering of support by key stakeholders. These were identified as parents, teachers, ministries of education, private and central

Graph 4 : Ways Organizations Can Add Value tot the Field of ChildFinance

n Implementation of programs n Awareness through Advocacy n Evaluation of programs n Financial support n In-kind services (academic thinking, voluntary teaching, pro-bono support) n Developing and enforcing laws and regulations n Other

10

THE WORD ON THE STREET JUNE 2010

banks and/or banking regulators, donor organisations, technology companies, microfinance institutions, child rights organisations, bilaterals and multilaterals such as UNICEF, and heads of governments. A respondent quoted that the ultimate success would be garnering support from influential leaders such as Warren Buffet and Bill Clinton, who could act as spokespersons for the ChildFinance movement.

The activities which would help to build the movement and which could be counted as the success factors of the movement are highlighted in Graph 5: In addition to these, the experts suggested several other success factors. Emerging from their responses, the following framework has been identified:

Regulatory Reform: The development and implementation of new regulations surrounding children and youth finance emerged as a major building block for the movement, with 83% of the respondents emphasizing this aspect. This indicates that the experts value this topic more highly than Aflatoun has. The key areas of regulatory reform as favoured by experts and mentioned in the previous sections were: the creation of child-friendly savings accounts, (with some supporting the idea that governments incorporate a matchedsavings scheme), savings accounts at birth (with or without government funding) and child-friendly banking policies.

Network and Governance: 78 % of respondents believed that collaboration in the form of a body for ChildFinance Awareness: 97% of respondents were in favor of an event to be essential to drive the movement forward. 36% of to mark ChildFinance. Of these, 72% believed that, at the these thought an annual meeting of all key stakeholders from different sectors would act as a focal point for country level, a day or week dedicated to ChildFinance cross-sectoral dialogue and would drive the movement would generate great momentum for the movement, forward. with more respondents favouring a ChildFinance week.

25% of these thought that, at an international level, a ChildFinance year would be most effective for generating Child Social and Financial Education: 73 % of support for and building the movement. Some even respondents identified social and financial as a key suggested that the year 2015 become the international point of focus. Several of the respondents were already year of ChildFinance. implementing different aspects of Child Social and 41% of respondents believed films and cartoon Financial education, especially entrepreneurship characters would help increase awareness for the topic, education. Complementing this education with savings clearly indicating a multifaceted approach to increasing accounts for children was another key focus. Several awareness. respondents cautioned against the movement becoming

Graph 5 : Key Activities Needed to Build the Field of ChildFinance

n International child finance awareness day/week n Regulation for banks to have child friendly banking products and savings accounts for children at birth n Global child finance network/annual summit n Childrenâ&#x20AC;&#x2122;s social and financial education curricula in eaqch country n Academic research on the issue n Resources from national governments, private sector and foundation n Childrenâ&#x20AC;&#x2122;s firts on on child social and economic rights and education n A global cartoon character n Other

11

too focused on financial education and stressed the importance of the social component.

THE WORD ON THE STREET JUNE 2010

Academic Research: 56% of respondents thought it essential to develop a body of knowledge around the concept. Some found it important to test the impact of Child Social and financial education, others to contributing towards theory–building around social entrepreneurship and social work.

Graph 6 : Age Composition of Survey Respondents n 6-10 years old n 11-14 years old n 15 - 20 years old

While some respondents were in favour of making girls the focus of ChildFinance, others stressed the need to focus on the issue of gender equity. In addition to the above, the experts suggested that the child and youth finance movement should explore stronger links with the microfinance movement, especially focusing on savings and insurance.

Conclusion This survey, while not a substitute for an in-depth academic study, has nevertheless provided interesting and important insights that will help shape the strategic framework for a movement in ChildFinance. Through this survey, we have had a glimpse into the thoughts and expertise of the field, and have been encouraged by the favourable response to the topic of ChildFinance. Even though organizations have not yet begun to incorporate topics and activities of ChildFinance into their operations, we have discovered that there is great willingness and desire to begin to do so.

Experts have shown support for the idea of creating a network that would dedicate itself to ChildFinance. At present, there is no coordinating body, which could serve to highlight the strengths of all cross-sector network members and recognize all their interests and needs. The experts’ meeting which will follow may very well result in the creation of such a governing body.

The network would be made up of organizations which have been working on various topics of children and youth finance, such as children’s asset building, product development and enterprise development. These will be used as pillars in the creation of a strategy for ChildFinance.

Focus group discussions were conducted with 61 children from Russia and Bangladesh.

The age group of the respondents ranged from 6 – 20 years, with the bulk of the respondents aged between 11 – 14 years.

The children cover a large sample; responses were received from homeless children and youth, those from middle- income families in an urban setting, and others from migrant families or affluent families.

Several of the children were very young, with minimal reading and writing skills. In cases such as these, parents or organizational staff assisted the children in filling out the survey. This has, in some instances, lead to an adult bias and has caused some translation and consequent paraphrasing of children’s responses. To counter this, we have attempted to focus on comments which come directly from children.

Section 2: What the Children Say

The questions posed to the children were very basic.

The primary objective of the questions was to gain an understanding of what children thought about various topics of ChildFinance. The survey was essentially a series of statements to which the children had to provide their feedback; mainly children had to respond as to whether they agreed, disagreed or were uncertain about the statement. In other instances, they were asked if they liked or disliked a statement.

This section aims at capturing the opinions of children and youth on ChildFinance. Children and youth from 31 countries across the globe contributed to the survey.

Where children were invited to provide an elaboration of their answer, we have, at times, taken the liberty to paraphrase the essence of what the children have said so 4

For the definition of a ‘Child’ see page 4

12

THE WORD ON THE STREET JUNE 2010

as best to capture the sentiment they wish to convey.

Where possible, we have left the quotes in their original form.

Children’s Opinions on ChildFinance In an attempt to understand better the level at which the children were already engaged in financial activities, children and youth were asked whether or not they were actively saving. Of the 210 children who responded to the survey, 54% of the children were actively saving, and 21% saved regularly. The methods of saving varied from piggy banks, and saving at school to saving with social workers and savings accounts in the child’s name, operated either by the child or the parents.

A streetchild in Ethiopia said “I am a shoe shiner and I give all my money to my aunt and she keeps it for me.

With it, she buys me everything I need” Aflatoun recognizes that the high percent of child savings could be attributed to the fact that many of the children who were interviewed were children with whom Aflatoun partner organizations work. This sample may therefore be more positively oriented to the basic concepts of ChildFinance.

When exploring the children’s opinions on financial education, 91% of the children and youth who responded to the survey strongly agreed to the importance of learning about saving money at an early age. 80% of them think that they should be taught about saving money and other financial topics in school.

The high interest in learning about the practical aspects of money and savings indicates that children have a very positive attitude towards money.

To understand the importance they place on financial education, children were asked what they would like to learn about money. The responses were varied. Outlined below are some of the responses which capture some of the key messages of children and youth: • I am a street child, if I save I will not spend the money on ‘solution’. But I want someone to keep the money so that it is not stolen.

• I need to know about money now so that I can save when I am older • I need to save to be able to pay for sickness • It is nice to have my own money • It teaches me to be responsible • Saving money helps me know the value of money • I need to know about money so that I can manage it.

I got a gift of money when I was 14 and I wasn’t sure what to do with it • My parents teach me about savings but I want to know more • My parents did not have a lot of money so I did not ask for things that I didn’t need. This has helped me value money.

Of the children who did not want to learn about money at home or at school, the key sentiments were: • I live on the street, I live for today and I don’t need to save • My money will be stolen, why should I save?

• I am not allowed to save at home • My parents teach me about money, I don’t want to know more at school What Children want to learn For an educational program such as Aflatoun, it was very interesting to gain an insight from the children and youth themselves as to what financial topics, if any, they would like to learn more about. Most interesting was not only on what the children placed importance, but how this opinion varied across geographic regions and socioeconomic settings.

As indicated in the graph below, there was a relatively even spread of what children wanted to learn about finances. Topics included savings, investment, personal skills development to enterprise and education and the use of technology for saving.

In addition to the above, children spoke about what was important to them, communicating such thoughts as: • I am a street child who earns 60 rupees (€1.06) a day.

I spent it. I don’t save as that would make me kuripot [cowardly] and less willing to take risks. Maybe if I knew how to manage money and invest it to make more money, I would save. I want to know how to do that and try it out for myself.

• I want to learn about saving and enterprise. Can I learn more about business, so that I can set up my own business?

• I want to know how not to get caught in a scam and be cheated by others.

• School is boring and we don’t learn useful real- life stuff. More practical teaching on money will really help and make classes interesting.

• There are lots of things I can spend my money on – games, mobiles etc. I don’t know what the best thing

13

THE WORD ON THE STREET JUNE 2010

Graph 7 : Preferred Topics of Children Social & Financial Education

n Value and importance of saving money n Individual personal skills and development n Knowledge on ways to save and invest n Practical exercises on saving n Creating more ways to save n New technologies that we can use (mobile phone & internet) n Others n I don’t want to learn about saving money at all

to buy is and how to choose between the different things on sale. It would be interesting if I am taught this.

Words of caution, which were raised by several respondents, included: • When you teach about money please also teach how we can spend it responsibly.

• Please let this not lead to bullying, because some children do not have as much money as others • There is a lot of consumerism in schools, and teaching about money can create pressure to spend beyond your means.

In answer to how they would like to learn more about finance, outside of school, 83% of the children and youth were keen that in addition to school education, modern technologies like TV, internet and mobile phones be used to promote ChildFinance. However, once again, they cautioned against the pressure on them to use money-management educational tools that can be promoted by advertising.

These sentiments in many ways validate Aflatoun’s core assumptions that ChildFinance and financial education for children and youth should be embedded in a strong social framework and related to the socioeconomic and cultural context of the child.

Which bank structures / products would facilitate the children’s involvement?

Questions on Children’s bank accounts also exhibited interesting regional and demographic trends. 49% of

children were of the opinion that children below the age of 18 should be allowed to have their own bank accounts. 20 % were undecided. In Asia, only 9 % of the children wanted their own bank account as opposed to South America in which over 30% of the children wanted their own bank account Aflatoun has always been an advocate of children opening and managing their own bank accounts, and so would need to explore this new dimension with further research.

But who should operate these accounts? 66% of children thought they needed parental supervision. When asked why they would like to have parental supervision, they responded: • We don’t understand the processes • The banks will take advantage of us because we do not know what we are doing • Our friends and family may pressure us to overspend or misuse our account.

• I need my parents help, otherwise I feel lost • Mom & dad still know what is best for me The arguments in favor of self-managed accounts are: • When we learn when we are young, we can do a lot better when we are older • If we get financial education, it will be easier • It will make us more responsible and accountable for our money Some children suggested alternatives to bank accounts, which could be the model the ChildFinance movement

14

can consider taking forward. These are: • Children from 14 – 18 can have self-managed accounts with parental consent • Banks could have a simplified process for children • The banking systems can become more child-friendly

THE WORD ON THE STREET JUNE 2010

Features of ideal Children’s savings accounts, as suggested by children.

1. P arental supervision with gradual phasing-in of

Only 28% of respondents liked the concept of children having bank accounts at birth. 83% from Middle East and North Africa liked the concept, compared to 57% in South America, 20 % from Europe and 19% from Asia.

These results clearly suggest that regional preferences would have to be further explored at the national level.

An interesting trend that has emerged is that investment education and fraud/scam protection are currently not in any of the curricula and need to be incorporated herein. Similarly, there should be a greater emphasis on self-confidence and the notion of choice.

control over the account by the child.

2. Limited withdrawal: children suggested monthly

When I’m an Adult.

withdrawals.

3. A bank pass which has a fun character drawn on it 4. D eposits as frequent as possible 5. Linked to school, where they can conduct informal saving (in “money corners” 6. Use of technology, such as mobile banking where possible

The table below shows the children’s preferences to having a more child-friendly banking system .

As can be seen from the table, over 70 % of the children and youth would like the “child-friendly” bank accounts, with easy withdrawals and operation facilities. 49 % like the idea of a matched fund account. This, however, had significant variations. 71% of the children from South America preferred matched fund account as opposed to 28% from Africa & Europe.

As a Parent Children and young people were asked to describe what they would change if they were adults. The answers were surprising. Most of the children and youth who responded said they would encourage their own children to open a bank account, with an age limit of 14 – 18.

They thought it was important to do so as they believe that managing a personal account ingrains a great a sense of responsibility. They also thought this would be a good way to learn about money, gain independence, help them pay for the future and set them on the path towards higher education One child mentioned that it was to “help [their] children be happy”.

As a Minster Children were asked what they would do for children’s finance if they were Ministers of Education or Finance. They visualised such things as holding a

Graph 8 : Children’s Preferences to Having a More Child-Friendly Banking System

n Banks should make it easy for me to withdraw from my account if I want to n Banks should make it easy for me for children to open bank accounts and use other products by themselves n More studies should be done on this topic n Government should allocate funds to open children’s bank accounts when they are born n Children should have a bank account as soon as they’re born

15

THE WORD ON THE STREET JUNE 2010

national ChildFinance day, making financial education compulsory in schools and in summer camps and through extracurricular activities. They would also encourage children to have their own bank account, use cartoons to educate children and simulate a marketplace in schools to teach children about enterprise. Some suggested having a “money saving corner” in every school. Most of all, they wanted to earn their own money to understand its value.

One child suggested that as Minister of Finance, they would spearhead a Junior Saving account with special rules for children and even offer awards for children who are doing a good job. This quote aptly summarizes the opinion of many of the children: “If I were the Minster of Finance, I would go to the very poor people, tell them to save money, to open a bank account and make their dreams come true!”

Section 3: What We Have Learnt The results of the children’s and experts’ surveys have proved to be a valuable source of information from which to begin shaping the strategy for ChildFinance.

Although they are not thorough academic studies, they have nevertheless provided key and clear inputs into what should be the way forward and upon what strategic pillars to build a movement in ChildFinance.

An interesting outcome of these two surveys is the ability to explore the similarities and differences in

opinion between experts and children. The nature of the questions posed to the experts and the children were similar, the only difference was that the children were not asked about regulatory reform nor about the creation of a global network. Still, the children’s were simplified and findings outlined below should not be viewed as more than indicative trends of the perception by experts and children.

The first clear conclusion that could be drawn from the results of these two surveys is that both the experts and the children want and see the need for ChildFinance.

As stated in the earlier section, the adults highlighted awareness, the need for a coordinating body, regulatory reform, CSFE, academic research and resources as the key indicators. They also stated that whilst enthusiasm is high, a lot of expertise and an academic body of research needs to develop around the concept. Hence a strong emphasis was placed on training and capacity development.

Perception Differences Overall the experts and children were similar in their perceptions about the future of the movement. The key differences in perception are highlighted in the graph below.

The key areas of difference were as follows: • Films, TV shows and use of media were highlighted by children as being the best way for them to learn about money. There was a 46% difference in perception by

Graph 9 : Differences in Expectations between Children and Adults n Children n Adults A. Children’s film on social and financial rights B. Integration of CSFE into school curricula C. Annual Child Finace Day D. ChildFinance Week E. Global cartoon character F. Studies of CSFE and Childfinance G. Compulsory child savings account with government funding H. Compulsory child savings account

16

THE WORD ON THE STREET JUNE 2010

experts and children on this topic.

• Both adults and children placed awareness as a very high priority for the movement. The children were keener on the concept of a year dedicated to ChildFinance, believing this would unite them globally.

One child thought that this would be a “fun way to think about [our] financial future” • 65% of children would like a global cartoon character to represent ChildFinance compared to 31% of the experts’. In fact, a global cartoon character was placed lowest in the list of what the experts viewed as a key element in the movement.

• Social and Financial education ranked high in both sets of results, yet the preference for teaching method was different. Children asked to be taught through games, such as board games, wanted a higher level of money management taught in schools and wanted to learn about how to help their parents. A few wanted to talk directly to the ministries of education about what should be taught and how children can participate in such things as curriculum development.

The role of financial institutions and the ideal savings accounts were also viewed slightly differently. When

children were asked what their ideal accounts should look like, they concurred with the experts with regard to factors such as high interest rates and no minimum deposits, but also preferred restricted withdrawals and fun, colorful bank cards.

Both groups ranked savings accounts for children highly.

While the experts made legislative reform a priority, the children asked for easier access to informal savings in schools and compulsory savings accounts outside of schools.

The Way Forward As stated previously, the aim of these surveys was to test the key elements of ChildFinance. These key elements were derived from the experiences of Aflatoun and its partners, as well as from initial discussions with experts.

Additionally, the detailed mapping of the organization, found in Annex 3, shows that many organizations have the same focus; several in the area of entrepreneurship, some in financial education, some in saving and the advocacy of child accounts at birth. However, little or no efforts are being focused on advocacy and legislative reform. This clearly underlines the need for a unified and integrated network, which could oversee and guide the

17

THE WORD ON THE STREET JUNE 2010

development of the ChildFinance ecosystem.

Prior to the survey, the key themes as outlined in the initial background note were as follows: • Child Social and Financial Education and its inclusion in global school curricula and non-formal education centres globally • Child- friendly banking with savings accounts & other products for children • Technology with a focus on mobile banking and a global children’s web portal • Influence in the Financial Sector with a focus on their integration in Corporate Social Responsibility

• Coordination: The strong need for a coordinating body for ChildFinance • Collaboration and Network: Annual multi-stakeholder meetings to give a push to the movement Presented in the table at the bottom of the preceeding page is the framework for the movement as it has emerged from the survey. Where changes have been made, they have been highlighted in italics.

Having amended the strategic framework for ChildFinance to incorporate the valuable insights from experts and children, Aflatoun will now take the next Based on the results from these two surveys, we have step in strategy revision and concretization. During the modified the original strategy framework to incorporate ChildFinance Experts’ Meeting, which will be held in the the inputs from the experts and the children. summer of 2010, experts from governments, financial institutions, private and central banks, children’s rights The shifts from the original strategy framework include: organizations, academics and many more will come • Awareness: The importance of generating awareness for ChildFinance and the primary role media can play in together to analyze and give feedback on this strategy framework. The result will be a finalized strategy this document that will guide a movement for ChildFinance– • Regulation & regulatory reform: This reform would Annex 4: Strategic Framework Development focus on the protection of children and youth and to a movement in its nascence with a desire to evolve. facilitate greater participation.

J7-17"?1"?9."0>7D.GH"?9."0?74?.B-5"674F./17A"/40":4-;";1/2"40"61::1/0I"

" " <6?.7"7.5.-D-2B"?9."0>7D.G"7.0>:?0H"?9."0?74?.B-5"674F./17A"/40">C;4?.;S"8942B."542"E."0..2"-2" -?4:-50"E.:1/I"

18

THE WORD ON THE STREET JUNE 2010

Annex 1: List of Countries from of Children and Youth Respondents • Bolivia

• El Salvador

• Nepal

• Spain

• Canada

• Ethiopia

• Netherlands

• Syria

• Chile

• France

• Nicaragua

• Ukraine

• China

• Georgia

• Paraguay

• USA

• Colombia

• Germany

• Peru

• Costa Rica

• Guatemala

• Philippines

• Cyprus

• India

• Portugal

• Egypt

• Morocco

• Russia

Annex 2: Profile of Respondents of Experts’ Surveymarkets.

Annex 2: Profile of Respondents of Experts’ Su

2 " " " N7B%)',%&'()2K@>+2 " Organisation type "" " " " " " " nN1D.72F.2?U8.2?74:"L42AU3-2425-4:" Government/Central Bank/ Financial Regulator (.B>:4?17" Xg" ag" " " " " " " " n Financial Institution cg" 3-2425-4:"M20r?>r12"h81FF.75-4:" " " " " " " " le of Respondents of Experts’ Survey (Commercial Bank, MFI, L42AH"P3MH"811C.74rD.H"<0015-4r12i" cg" Cooperative, Association XYg" " " " " " " " " " " " ]g" " n N

ational corporation/non bank *4r124:"517C174r12U212"E42A" " " " " " " " n Multi/Bilateral Agency/Donor *7+%2(/2M(7D2(/2N " " " " " " " Foundation " " " " " " " " N1D.72F.2?U8.2?74:"L42AU3-2425-4:" P>:rUL-:4?.7-4:"<B.25GU)1217" n International NGO " " " " " " " (.B>:4?17" @Zg" " " " " " " " " n31>2;4r12" National NGO " " " " " " " !\g" nM2?.724r124:"*N'" University/research institution 3-2425-4:"M20r?>r12"h81FF.75-4:" " " " " " " " " " " " " " " " n Other/N/A L42AH"P3MH"811C.74rD.H"<0015-4r12i" " " " " " " " " !g" " " " " " " "]g" ! *4r124:"517C174r12U212"E42A" *4r124:"*N'" " " " " " " " " " " " " " " " *7+%2(/2M(7D2(/2N7B%)',%&'()2 " " " " " " " " " " " " " " " P>:rUL-:4?.7-4:"<B.25GU)1217" T2-D.70-?GU7.0.4759"-20r?>r12" " " " " " " " " X!g" 31>2;4r12" " " " " " " " " " " " " " " " 89-:;7.2"42;" Area of Work of Organisation " " " " " " " 2?.724r124:"*N'" '?9.7U*U<" =1>?9" " " " " " " " " n Children and Youth " " " " " " n Civic engagements & "human !g" " " " " " "]g" !Zg" " " 8-D-5".2B4B.F.2?0" *4r124:"*N'" rights " " " " " " " R"9>F42"7-B9?0" " " " " " " " " Xa n F

inance " " " " " " " 3-2425." " " " " " " " ag" " n Education & Learning T2-D.70-?GU7.0.4759"-20r?>r12" X!g" " n Enterprise development A(0+2(/2A+,>()"+)&2 " " " " " " " " n Other %;>54r12"42;" L147;"P.FE.7U " " " " " " " '?9.7U*U<" " " "" " " " " " b.472-2B" 0.2-17" " " " " " " " " " F424B.F.2?U %2?.7C7-0." " " " " "" " " " " " .^.5>rD." " " " " " " " " "

Xag"

P-;;:." " " P424B.F.2?" "

"

"

!!g"

"

"

;.D.:1CF.2?" '?9.7" "

"

"

"

"

"

"

"

"

"

"

"

)&2

"

"

"

"

"

"

O>2-17" " " " P424B.F.2?U .^.5>rD." "

"

<54;.F-5"

"

"

"

"

"

"

"

@Xg"

]Zg"

19

"

M2?.724r124:"*N'"

" " "" " " " "" " *4r124:"*N'" " " "" " " " "" " T2-D.70-?GU7.0.4759"-20r?>r12" " " "" " " " "" " '?9.7U*U<" " " "" " " " "" " " " "" " L147;"P.FE.7U

"+)&2 "

"

"

"

"

" " " " " " "

THE WORD ON THE STREET JUNE 2010

"

]Zg"

" " " "

0.2-17" " F424B.F.2?U " .^.5>rD." P-;;:." " P424B.F.2?" "

"

"

" "

"

"

"

"

XX" "

"

" ]Zg"

" " X!g" " " " " "

" " " " " " "

"

" " " " " " Xag" "

" ag" " " " " " "

R"9>F42"7-B9 3-2425."

%;>54r12"42 b.472-2B"

%2?.7C7-0." ;.D.:1CF.2? '?9.7"

"

Role of Respondent "

"

"

"

"

"

n Board memeber/Senior Management/Executive " " " n Middle Management n Junior Management " " " n Academic n Other

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

" Zg" " " " "

"

" "

"

"

"

"

"

"

" "

"

"

"

"

"

"

@Xg"

"

""

"

"

"

"

!!g" "

"

" "

"

"

"

" O>2-17" " P424B.F.2?U " .^.5>rD." " " <54;.F-5" " " " '?9.7" " " " "

"

*4r124:"*N'"

=1>?9" " " " " " " " " ]g" !g" " " " T2-D.70-?GU7.0.4759"-20r?>r12" " " " " " 8-D-5".2B4B.F.2?0" !Zg" R"9>F42"7-B9?0" " " " " " " " " 3-2425."" " " " " " " '?9.7U*U<" ag" " X!g" " " " " " " " " %;>54r12"42;" " " " " " " " " b.472-2B" " " " " " " " " %2?.7C7-0." " A(0+2(/2A+,>()"+)&2 " " " ;.D.:1CF.2?"

Xag" " " " " " " " " '?9.7" "

"

"

!cg" "

"

" " "

"

"

"

"

Xg"

" "

Xg"

"

" cg" "

@]g" ""

"

""

"

"

" cg"

"

"

"

" cYg"

cg"

" @]g" HDI "of Country of Respondent ,.7G"9-B9" "

n Very High

$-B9"M251F.H" n High Income

"

"

,.7G"9-B9"

"

$-B9"M251F.

P-;;:."M251

"

"

" cg"

"

n Middle Income P-;;:."M251F."

cYg"

b1/"M251F. *1"<20/.7"

n Low Income n No Answer

b1/"M251F." *1"<20/.7"

"

"

"

"

"

" "

A+B'()2

"

cg" !g" Zg"

"

" " " " " " " " " " " " "

Region *S"<F.7-54"

n North America n Europe <0-4" n Asia <67-54"n Africa "n Latin America " b4r2"<F.7-54" "n MENA " P%*<" n No Answer

" " " "

" " " "

" " "

" " "

%>71C."

cg" Xdg"

" 2 "

"

" " " "

@Yg"

@]g"

3I.2(/2F(#)&7@2(/2A+,>( " "

" "

Annex *1"420/.7" 3: Sector Mapping

!"#$%#$%&%$&'()*%+,%-"*%.*$*&./"%0*%&.*%/1..*2-)3%124*.5+#25%+,%'&((#25%-"*%+.5&2#6&-#+2$%0"#/"%&.*% /1..*2-)3%#27+)7*4%#2%4#,,*.*2-%&$(*/-$%+,%8"#)49#2&2/*:%!"*%)#$-%#$%(.*)#'#2&.3%&24%2+-%*;"&1$-#7*:%<% /+'()*-*%)#$-%0#))%=*%(.*$*2-*4%&-%-"*%8"#)49#2&2/*%>;(*.-$?%'**-#25%#2%@12*%ABCB:%

20

" Organization Name

Description/Relevance

Annex 3: Sector Mapping This is a sample of the research we are currently undergoing of mapping the organizations which are currently involved in different aspects of ChildFinance. The list is preliminary and not exhaustive. The organizations are listed in no particular order. A complete list will be presented at the ChildFinance Experts’ meeting in June 2010.

THE WORD ON THE STREET JUNE 2010

The Financial Fairytales A UK-based NGO providing financial education to 4-11 year olds by means of explaining prosperity principles and financial awareness with innovative learning books.

Développement International Desjardins (DID) DID is a Canadian corporation that specializes in providing technical support and investment for the community finance sector, and currently assisting organizations in over twenty nations in Africa, Latin America, the Caribbean, Asia and Central and Eastern Europe.

Kids Finance An NGO teaching children the principles of saving and investing.

Libbie Agran Financial Literacy Center A local Californian YWCA providing games, workshops, adn field-trips to increase financial awareness and develop life skills for financial decision making.

Pay Your Family First A US-based NGO teaching families and children entrepreneurship skills focused on leadership, financial

education and the importance of charitable giving while providing them with innovative products and hands-on business tools.

AFD Agence Francaise de Developpement AFD’s activities on five continents are aimed at reducing poverty and inequalities, financially sustainable economic growth and protecting. They provided help for 1.8 million children.

Jump Start Coalition

Every Child INGO located in Moldovia with a strong focus on the prevention of child abandonment and of children’s institutionalisation, as well as on children’s social rehabilitation and their family reintegration. They reached over 100.000 children in India, Malawi, Cambodia, Georgia, Moldovia and Peru.

Global Financial Education

A US-based INGO focusing A national coalition of 150 on developing and impleorganizations dedicated menting financial educato improving the financial tion programs for young literacy of pre-kindergarten adults aged 16-22. through college-age youth through providing financial Institute for Public education.

Financial Education

Bridge International Academies A startup providing social and financial education across Africa through operating a large network of private primary schools.

(IEFP)

A French NGO promoting the financial literacy program “la finance pour tous”

Women’s World Summit Foundation An INGO promoting women’s and children’s rights, as well as social and financial education.

Endpoverty Provides microfinance, business training and community development proFundatia Romana grams through a network pentru Copii, of locally-led organizations Comunitate si Familie in Europe East, Africa, (FRCCF) South East Asia & Pacific The mission of FRCCF is Islands, and North America. to support vulnerable and marginalised children so that they can grow in a safe

family environment and benefit from the education and health care they need.

ImagineNations Global alliance promoting youth employment and investment, as well as entrepreneurship (for ages 15-29) across Africa, ME&NA, and South East Asia & Pacific Islands.

Junior Achievement An INGO that economically empowers 9.7 million students a year, in 122 countries around the world, through teaching them work readiness, entrepreneurship, and financial literacy.

Daasgift Quality Foundation (DQF) Foundation aiming at empowering the poor and needy, especially women and youth, through the facilitation and provision of business development services, micro credit, health education and skills training.

The National Association for the Education of Young Children (NAEYC) Largest NGO in the US dedicated to improving the well-being of young children (age 0-8), representing early childhood education

21

lies to incorporate strong fi- CFED: Child Savings nancial values and practices Account Coalition into their daily lives.

A US organization on federal level, promoting uniAgency for Technical Kids Wealth versal savings accounts for This international corpoevery child at birth with the Co-operation and ration money program is goal of alleviating poverty, Development (ACTED) An INGO active in 23 coun- Jet Education Services designed to teach young promoting sound financial tries in Africa, Asia and the An NGO that works with children (ages 4-12) the awareness and social behaMiddle East, implemengovernment, the privalue of money, how to vior and inspiring a sense of ting projects in the areas vate sector, international manage money, how to hope and opportunity for of emergency relief, food development agencies build smart money habits every child. security, health, economic and education institutions and how to develop a development, education to improve the quality of mindset for success. Their The George Lucas and training, microfinance, youth education in South aim is to reach 20 million Educational advocacy and cultural pro- Africa and the relationship families by 2020.

Foundation motion. between education, skills Created to form a place development and the world SIFMA Foundation where kids and parents, International Step by of work.

A Foundation developing teachers and adminiinitiatives for financial strators, policy makers and Step Association ISSA is a membership Kids Money and investor education for the people they serve, all organization that connects An interactive online platall ages, spurring greater are em-powered to change professionals and organiform for parents, teachers, economic independence education for the better. zations working in the field and children interested in for individuals and enabling It is a place where children of early childhood devehelping to develop/devethem to better access the become lifelong learners lopment and education. It loping successful money opportunities inherent in and develop the technical, promotes equal access to management habits and our global marketplace. cultural, and interpersonal quality education and care financial responsibility, The Stock Market Game, skills to succeed in the 21st for all children, especially respectively. a program for financial century. in the early years of their education, has reached 12 lives.

Youth Alive million students.

Room to Read Youth Alive supports the Room to Read partners Open Society Institute education of street children YoungBiz with local communities young enough to go back An NGO empowering throughout developing & SOROS Foundation to school. They provide youth with entrepreneurial, world, provided quality Network Implements initiatives to places for older children business, and financial skills educational opportunities assure greater fairness in (15 years and above) under through providing classby establishing libraries, education by developing apprenticeship to learn room curricula, workshops, creating local language programs such as Early trades of their own choice teacher training, and concenters for children, conChildhood Program, Educa- and support the children to sulting services. structing schools, and protion Support Program and set up their own businesviding education to girls.

Youth Initiative. They focus ses after the training. They Kidnexions on Central and Eastern already reached 400 million Accessible online platform University of Europe, South East Europe, children. providing a ‘Kids Save Soft- Wisconsin-Madison the former Soviet Union ware’, a savings and money US University, locally and Mongolia.

Moonjar management software providing financial literacy An organization providing program designed for ages programs targeted on preDevelopment Activities “Moonjar moneyboxes”, 6 and up. school children. which were created as a of Society (DAS) A local NGO operating in tool for children and fami-

THE WORD ON THE STREET JUNE 2010

teachers, experts, and advocates in center-based and family day care.

Bangladesh and implementing a ‘Working Children Education Program’ were students are engaged in various income generating activities.

22

THE WORD ON THE STREET JUNE 2010

SOS Children’s Villages

transition and completion through advocacy, awaof school programs; reness, and social mobiAn INGO which has been lization. CWIN organized active in the field of childSelf Reliance Center that Bernard van Leer ren’s rights and committed started banking services for Foundation to children’s needs and street children.

The foundation supports concerns since 1949. Equal Peoples Development educational programs rights to education and Child’s Dream through grants.

Foundation (PDF) training for children. PreAn NGO that is establiAn INGO focused on school care for children, shing children’s associatieducational infrastructure Centre for Equity for schooling and vocational ons and involving them in (nurseries, schools, vocaWomen, Children and training for children. They programs to develop their tional training centers and Families reached 1.1 million children creative skills and to becolleges), includes health The Center for Women, in 450 SOS Children’s Vilcome suitable persons with care programs such as the Children and Families is a lages and 192 schools. positive thinking of future. Children Medical Fund. non-profit social service Provides stationery to over agency providing a safe, Jump Start Coalition Money Instructor 55,000 children all over the accessible and healing enviIt is a coalition that shares Organization that teaches region. ronment for children, while an interest in advancing material, games, and activideveloping the strength financial literacy among ties to help kids with moEnterprise Education and self-sufficiency of wostudents in pre-kindergarney skills, including basic men and families through Trust ten through college. skills, money management, A UK-based organization education, support, counpersonal finance, and other offering flexible, interacseling and advocacy.

United Nations Girls’ useful life skills. tive programs that use real life business experience ChildFund International Education Initiative UNGEI’s vision is a world Financial to inform, involve and ex- Christian Children Fund. where all girls and boys inspire young people of all Next to child sponsorships, Access@Birth are empowered through They are giving every new- abilities. More than 90.000 they also concentrate on quality education to realize born child in the world an 14-19 year olds benefit education, however they their full potential and online bank account with an from innovative education don’t specifically focus on contribute to transforming initial grant of $100. programs every year. financial education. Aflasocieties where gender toun cooperates with Child equality becomes a reality. Prosperity4Kids The Wallace Fund on local leve to impleNational Corporation that ment the Aflatoun program Foundation UNESCO produces interactive means The foundation seeks to (e.g. Ecuador, Gambia).

UNESCO has several profor kids to learn about support and share effective grams in multiple countries savings (Prosperity4Kids ideas and practices that will Grupo BBVA across the country that are Affiliate Program). strengthen education, lea- Between 2009-2011 BBVA meant to provide education dership, arts participation has a budget of 26MM € for all. The organization is Child Workers in Nepal and out-of-school learning for a global financial promoting education as a for children. education program in all Concerned Centre fundamental right, with a areas of operation (Spain, (CWIN) focus on improving quality CWIN is a non-governWinrock International Latin America, Mexico through the diversification mental organisation that An INGO that strengthens and the United States). In of contents and methods works with child labourers, formal and non-formal the first year the program and the promotion of unistreet children and other education systems that reached 440.000 children versally shared values. children at risk. It promoenable working children directly. The project targets tes the rights of children, and those at risk to attend students between 6-14 Advancial particularly the rights of school and provide data on years and is integrated in Financial Institution that girls and children at risk, enrollment, persistence, the school schedule. BBVA through Advancial’s Money Musketeers savings account lets children learn the basics of saving at a young age.

23

THE WORD ON THE STREET JUNE 2010

focuses its efforts to finan- currently operates in 60 cial education and inclusion countries, among them are the US, Mexico, Argentina, into the financial system Brazil, India, South Africa, Thailand, France, Germany, Kosovo Education and Spain.

Centre Kosovo Education Centre (KEC) is a non-governBanco Central do mental and non-profitable Brasil organization established by Banco Central, along with the Soros Foundation in the the national private insuyear 2000. KEC is mainly rance, pension funds and focused in the training of capital markets regulators the school staff for new (Susep, Previc and CVM, methodologies of teaching respectively), has devised and leadership, and is also a National Strategy on active in other fields that Financial Education (ENEF). support the advancement Currently a pilot project in of the quality of education the scope of ENEF is in acin Kosovo. KEC is an Aflation to provide 550 middletoun Partner. level schools with financial education/literacy

Opportunity International Bank of Malawi

The Opportunity International Bank of Malawi is a financial institution with the goal of providing easier access to bank accounts, micro-funding and other credit services to under privileged people in Malawi.

The bank provides friendly customer service and tries to encourage economic growth and stability in Malawi. Currently they don’t focus on children

Ashoka Innovators for the Public The biggest social entrepreneurship organization worldwide. Runs the Youth Venture program to promote entrepreneurship for children. The Idea is that empowerment is the best way to change one’s situation. The program

more than $6 million have been given to adolescents.

Country focus is Bangladesh, but the program has recently been piloted in Tanzania and Uganda with the help of the NIKE foundation. ‘Social and Financial Empowerment of Adolescents’ (SOFEA): a new program focusing on Bangladeshi adolescent girls aged 11-21.

Central Bank Armenia

CAMIDE-GAP

The Corporation for Enterprise Development is a national nonprofit based in Washington, DC dedicated to expanding economic opportunity for low-income families and communities.

The run an Asset Building for Children program that offers Children’s Development Accounts, policy advocacy, research, etc.

CAMIDEs (Centre d’Appui à la Microfinance et au Développement) mission is to be a centre of excellence providing technical support and advice to launch, strengthen and finance innovative microfinance Building Resources initiatives, empowering deprived rural populations, Across Communities hence contributing to local (BRAC) BRAC tackles the longsustainable development. term task of improving the GAP (Groupe d’Appui aux living conditions of the ruPrograms) is a local NGO ral poor globally. The policy promoting Child rights and is directed to help individu- education. Local Aflatoun als develop, manage and Partner in Mali. control their own destiny.

BRAC runs an extensive Canadian Foundation education program (BEP) for Economic from pre-primary school to Education continuing education. BEP CFEE provides economic comprises: Adolescent De- and financial education & velopment Program (ADP), entrepreneurial spirit to which is the general educa- more than 300,000 Canation program. Within ADP dian students each year. there is the Employment and Livelihood for AdoCentral American lescents-program (ELA), Business Intelligence which focuses on the finan- research on the field of cial education part within children finance ADP. It is mainly targeting girls and reaches 300.000 adolescents. Through the program microloans of

Helped linking Junior Achievement with Aflatoun for Latin America and still coordinate activities through participation in the advisory board. The institution is responsible for Financial Literacy in the country and works more as a multiplier.

CFED

ChildFund Africa Children have the right to experience life with as much joy and hope as possible. Christian Children’s Fund creates an environment of hope and respect for children in need. CCF is a dynamic global force for children, supporting programs within an environment of protection, hope and respect. We offer the tools needed to address both the immediate and the long-term needs of children, effectively focusing on the core issues of poverty. Local Aflatoun partner Children International An INGO that provides

24

THE WORD ON THE STREET JUNE 2010

child sponsorship solution, health, educational, material and emotional aid to very poor children from around the world. Oneto-one sponsorship gives them the opportunity to break the cycle of poverty and realize their full potential.

Credit Union National Association US Credit Union National Association offers a broad range of educational courses in different format via the internet. So far they primarily target adults with their financial literacy programs.

Defence for Children International Cote d’Ivoire Country office of DCI international. Defense for Children International is an independent nongovernmental organisation that has been promoting and protecting children’s rights on a global, regional, national and local level for 30 years. Defence for Children International is represented through its national sections and associated members in 40 countries worldwide. DCI is an Aflatoun-partner.

FEDECREDITO Microfinance institution mainly active in Latin America

German Technical Cooperation Bilateral office of Germany

Museo Interactivo de Economia

tion helping schools to plan and teach financial capability relevant to students’ lives and needs.

University of Arizona

The University of Arizona runs the Take Charge America Institute which offers FEFE (Family Economics Population Council and Financial Education), a Runs a Poverty, Gender financial education proand Youth (PGY) program gram; conducts research researching on the topic and launches financial comin order to understand the petitions on the topic. They underlying factors and inalso run the Family Finance fluence policy-making. Wit- Day and other events to hin the PGY program they increase awareness.

New America also run a Financial literacy/ Livelihoods program. ProUniversity of Illinois Foundation The New America Founda- grams integrating financial The University of Illinois tion, through its Global As- skills, savings, and social Center for Economic and sets Project, has expertise support have been piloted Financial Education is affiin the design and advance- and evaluated in Banglaliated with the U.S. Council ment of policies, products desh, Egypt, Guatemala, for Economic Education and programs that build India, Kenya, South Africa, (CEE) and is part of a naand Vietnam savings and assets for the tional network of univerpoor and the vulnerable, insity centers dedicated to cluding children and youth, Reykjavik University, increasing economic and around the world. financial literacy nationally Center for Financial and internationally.

Literacy PAU Education The Institute for FinanP.A.U. Education is a cial Literacy promotes the World Learning private company that improvement of financial World Learning is a global provides strategic consulliteracy of all Icelanders non-profit organization ting and services of project focusing on research and with operations in more management in the areas education as well as being than 75 countries. Through of education and social de- the countries financial liter- its international education velopment. Our know-how acy knowledge centre. programs The Experiment in building communities in International Living, SIT is based on its own team UNCDF Study Abroad, and SIT of multilingual networUnited Nations Capital De- Graduate Institute World kers, unique techniques velopment Fund promotes Learning fosters global citifor dynamization, proven inclusive Finance, today zenship by connecting over experience in evaluation they are focusing on inclu- 3,000 young ambassadors and capacities to develop sion of women and small annually across cultural and operate interactive enterprises and not yet on differences and social barplatforms (using web 2.0 children. riers. They don’t focus on tools) financial education!

The first Museum of Economy in Latin Americas located in Mexico City. In the museum basic economic concepts are presented as well as how they relate to everyone’s lives. They have information material as well as some seminar material online.

Personal Finance Education Group

UNICEF Headquarters

International Roof Organization funding many Personal Finance Education child education programs Group is the UK’s leading worldwide finance education organisa-

Center for Social Development at Washington University The Center for Social Development has been a pioneer

25

THE WORD ON THE STREET JUNE 2010

in research on savings and asset-building for almost 20 years, informing major product, service and policy developments around the world

effectively. There are areas for teachers, parents, young people and the general public. The project is associated with the British government’s “Consumer Financial Education Body”. Not specifically for children.

Save the children runs an the Americas, Sub-Saharan education and a livelihoods Africa and Asia. program for the children and youth in the least deve- OECD OECD runs a program on loped countries financial education. A main US Council for objective of this program, Cgap set up in 2003, is to proEconomic Education CGAP is an independent Offers financial literacy mote international coopepolicy and research center programs, for example ration among key financial dedicated to advancing Fundacion Paraguay EconomicsAmerica is a pro- education stakeholders, financial access for the Collaboration with JAW gram targeted at American especially in the context world’s poor. It’s located at (see below) students; EconomicsInof the rapid changes in the World Bank. ternational is the program emerging economies, Junior Achievement targeted at international resulting in a wider array Child Helpline students. of financial services (often Worldwide Worldwide education procredit products) now being International Works as a communicator/ gram for children YouthSave Consortium offered to a large number multiplier of local children focusing on Entrepreneur- Consortium of four big of inexperienced consumers. For example there helplines, thus potentially ship, Financial Education organizations (Save the has been a conference pushing financial issues on and employment prepaChildren, the Center for coorganized with Bank Inthe agenda from local to ration. JAW reaches more Social Development at donesia in 2008 on financial international level. than 6 million adolescents Washington University in in more than 125 countries St. Louis, the New America education.

Day for Change per year.

Foundation, and CGAP) to Dutch Organization hosconduct a landmark, global J-PAL (Abdul Latif ting annual school camMasterCard Foundation research initiative that will Jameel Poverty Action paign Klasse!Actie to push By increasing access to test how to sustainably Lab) awareness for microcredits microfinance and youth deliver savings services to Network of 44 academics in developing countries and education for people in low-income youth in the applying randomized evastimulate entrepreneurial developing countries, the developing world. luations to conduct impact thinking. foundation is enabling evaluations, build capacity them to realize their poACCION and impact policies against Educational Commutential and lift themselves ACCION is an international poverty. Located at MIT, out of poverty. The Youth Microfinance institution. they have offices in Latin nications Board A Wisconsin (USA) based Learning program has One part of their operaAmerica, Europe and Asia educational organization three pillars: enable contions consists of financial as well. providing a program called tinued learning, facilitate education. They run a fi“Financial Literacy: Teach connections to markets, nancial literacy (understan- Nike Foundation it!” to Wisconsin schools support entrepreneurs. ding of financial services) The Nike Foundation runs from grade K to 12.

The foundation has funds and a Dialogue on Business an empowerment program of $3bn. The foundation is (encouraging microentargeted at girls called “the Financial Services active worldwide. trepreneurship) program. girl effect”.

They haven’t been focusing Authority - Money PLAN International on children yet. They are Novo Foundation made clear This site aims to help peoChild-centered developserving 3.3 million current Focus on empowering girls ple become questioning ment organization focusing borrowers and have a total and adolescent women and informed consumers on sponsorships and offeloan volume of $23,6bn worldwide by giving grants of financial services and ring a CSFE programs since creation. They are to a group of organizations to manage their finances Save the Children active in North America,

26

THE WORD ON THE STREET JUNE 2010

Coalition for adolescent girls Organization active in research and action relating to empowering girls and adolescent women worldwide. One of the focuses is education both in research and in practice. Collaborator in the “the girl effect” project.

United Nations Foundation

they do not state children specifically, however one of the values is “service to everyone”, so they might be interested in the topic

Federal Reserve Bank of Chicago The Federal Reserve Bank of Chicago runs several regional and national financial education programs and competitions targeted to high school students.

Investing in a broad array of causes/organizations one European Central Bank being education especially The ECB has realized the targeted at girls. importance of financial literacy of the citizens in MCYS Singapore order to get public support Baby Bonus is a program for their policies and thus run by Singapore’s Ministry the importance of CSFE. of Community DevelopThe ECB sees itself as a ment, Youth and Sports indirect contributor. It rato support families having ther works as a “multiplier” babies. It comprises a child- supporting the training of ren’s development account educators of financial liter(CDA) scheme. acy programs throughout the EU and pushing the Action for Children topic on the agenda.

Organization in North Carolina (USA) that amongst Bank Indonesia others promotes the conConferences in collabo-raticept of asset building for on with the World Bank on children and CDAs. Children’s financial education Thrive! Canada Canadian Organization Inter-American for positive youth deveDevelopment Bank lopment promotes asset Promotes educational quabuilding for children. They lity through initiatives that work as a multiplier, orgaimprove early childhood nize awareness events and development, the transitry to impact policies. Part tion from school to work, of CABiN, the Canadian As- and teacher quality. The set Building Network bank has provided $250 million in grants and orgaTanzania Postal Bank nize international donors Bank offering microcredits to support five-year, $2 biland other financial services, lion plan to vastly expand

tuition-free public school system.

Riverbank Savings and Credit Cooperative Society Limited (Riverbank) Riverbank provides microcredit, group loans, education loans, microhousing loans, emergency loans, savings, and insurance services. 225 children have been involved and benefited form their project activities.

The Multilateral Investment Fund

Sovereign Bank Financial Institution that through their KidsBank. com online website is specifically educating children about finances.

Child Fund International They promote societies whose individuals and institutions participate in valuing, protecting, and advancing the worth and the rights of children. Provides education tailored to the children’s needs through improved curriculum, informal schools, early child development programs

The Multilateral promotes educational quality through initiatives that improve America First Credit early childhood developUnion ment, the transition from A federally charged US creschool to work, and teacher dit union, operating around quality.

90 branches and providing child friendly banking by Triodos Bank means of youth savings acTriodos Bank provides loan counts (from age 0 to 17). that enables the Nant-yCwm Steiner School to African Development refinance their existing bor- Bank Group rowings and provide educa- AfDB works in 53 countion for 4-14 year olds. tries in Africa and 25 in American, European and Public Service Credit Asian countries. They have multiple projects that are Union Savings Safari Program is geared towards education created especially for kids at vocational school. They ages 12 and under which have at least 59 programs provides Savings Safari that are dedicated to difclub features: entertaining ferent kinds of education. and educational tools to help parents teach the Columbia Funds importance of saving, and Stein Roe Young Investor helps to build the foundaFund is a mutual fund that tions of financial responsi- caters specifically to kids. bility.

27

THE WORD ON THE STREET JUNE 2010

Banque Populaire du Rwanda

Federal Reserve Bank of Chicago

Regional Bank offering child friendly banking, i.e. savings accounts to all ages without minimum deposit restrictions, with special attention to locals and farmers.

The Federal Reserve Bank of Chicago runs several regional and national financial education programs and competitions targeted to high school students.

Banco Central do Brasil Banco Central, along with the national private insurance, pension funds and capital markets regulators (Susep, Previc and CVM, respectively), has devised a National Strategy on Financial Education (ENEF).

Currently a pilot project in the scope of ENEF is in action to provide 550 middlelevel schools with financial education/literacy

Central Bank Armenia The institution is responsible for Financial Literacy in the country

European Central Bank The ECB has realized the importance of financial literacy of the citizens in order to get public support for their policies and thus the importance of CSFE. The ECB sees itself as a indirect contributor. It rather works as a “multiplier” supporting the training of educators of financial literacy programs throughout the EU and pushing the topic on the agenda. (-> http:// www.ecb.int/press/key/ date/2006/html/sp060929. en.html)

Auridis GmbH Gemeinnützige GmbH, supporter of Aflatoun

CitiGroup

CitiGroup runs the Citi Foundation, which funds projects in Microfinance & Microenterprise, general Tanzania Postal Bank education (promote contiBank offering microcredits nuing education to univerand other financial services, sity degree in the USA), fithey do not state children nancial education and asset specifically, however one building (however mostly of the values is “service to no focus on children). everyone”, so they might be interested in the topic Deutschen Sparkas-

Amsterdam World Wide Marketing agency and partner of Aflatoun

EVD

UK Department for International Development

NL Agency is the department of the Dutch ministry of Economic Affairs responsible for the implementation of substainability, innovation and economic development programs for various governmental bodies. It is the contact point for businesses, educational institutions and government bodies for information and advice, financing, networking en regulatory matters.

Duke University

Finca Peru

sen- und Giroverband AACCU Association of Association of German Asian Confederation of Savings Banks.

Credit Unions Server was down today.

DFID It is the apex organization of the credit union/ cooperative system in the Asian region. This system encompasses credit unions/ cooperatives and similar financial institutions in countries in the East, Southeast, and South Asia.

Membership to ACCU is comprised of national credit union/cooperative leagues and federations.

The present membership of ACCU consists of 16 regular member-organizations and 1 associate member, 15 affiliate members and 25 support members from 23 countries.

Chris Crane, our CEO, was previously the CEO of Opportunity International, one of the world’s largest microfinance networks with operations in 28 countries around the world.

(Center for the Advancement of the Practice of Social Enterpreneurship) Center of studies on social entrepreneurship

Micro Finance Institution aiming to provide credit, promote savings and provide training to women from low income households. FINCA Peru work East Europe Foundation in Lima, Ayacucho and EEF’s mission is to empoHuancavelica through vilwer citizens to build their lage banking, and focus on own futures by mobilizing financial education, savings resources, strengthening and personal values. The communities and fostering Aflatoun program targets public-private cooperation. the children of the women who are part of the village EduLeap banks being supported by provides low-cost private FINCA Peru in Ayacucho. schools in the developing world with microfinance Freedom from Hunger loans and works to improve We bring poor women the quality and relevancy in Africa, Asia, and Latin of curriculum, placing a America a powerful comspecial emphasis on enbination of micro-finance, trepreneurship and, where education, and health possible, technology. protection to help them

28

achieve a sustainable, selfhelp end to world hunger.

THE WORD ON THE STREET JUNE 2010

Fundacion Paraguaya de Cooperacion y Desarollo Fundación Paraguaya is a cutting-edge social enterprise that seeks to develop innovative solutions to poverty and unemployment and proactively disseminate them throughout the world. This organisation is in charge of implementing Junior Achievement programs in Paraguay.

vice law firm in the Netherlands, providing services to Dutch and international clients. One of the firm’s key strengths is its ability to offer extensive knowledge of the Dutch market and Dutch law expertise.

Houthoff Buruma supports Aflatoun with legal advice pro bono together with the Lex Mundi Foundation.

in supporting educational UNICEF projects in Brazil, India and Ethiopia.

Innovations for Poverty Action IPA is a nonprofit organization that creates and evaluates solutions to social and development problems, and works to scale up successful ideas through implementation and dissemination to policymakers, practitioners, investors, and donors.

MEDA As an association of Christians, faithful in daily work and committed to sharing abilities and resources, MEDA creates business solutions to poverty.

Micro Insurance Academy

About us The Micro Insurance Academy is a Delhibased charitable trust deICS International Child dicated to evidence-based studies, training and adviSupport International Child Support sory services for microin(ICS) helps in developing surance units serving the countries. We accompany Making Cents poor. Community-based GTZ children and their parents micro health insurance International The Deutsche Gesellschaft to an independent future.

Making Cents International units represent the highest für Technische ZusammeThe central point in helping is a social enterprise based hope for the extension of narbeit (GTZ) is a federally is the child in the school, in Washington, D.C. that insurance coverage among owned organisation. We where the child is the provides specialized techni- the uninsured poor. Howework worldwide in the field ambassador for its direct cal services and curriculum ver, microinsurance scheof international cooperati- environment. They are to individuals and organiza- mes need help in customion for sustainable deveactive in education, health tions working in enterprise zing their insurance to the risks and conditions they lopment. Our mandate care and income generadevelopment. is to support the German ting projects.

They also build and streng- face, at affordable premiums, through a process Government in achieving then the youth enterprise that they trust. The MIA its development objectives. ING Group and livelihoods sector by We provide viable, forward- ING Chances for Children is creating learning opportu- offers innovative, contextspecific solutions to meet looking solutions for polia community development nities and networks. They tical, economic, ecological program launched in 2005 work with more than 4,000 those needs. Our Mission Our mission is to empower and social development in

by ING to fight for educaorganizations in over 40 communities to play an a globalised world. tion on behalf of children countries. active role in insurance around the world. On one Good Bee/Erste Group hand, it supports local Marie & Alain Philipp- while uplifting themselves out of poverty. We help Erste Group is a retail bank organizations dedicated son foundation reduce people’s finanbased in Austria active to childrens education as The mission of the Founcial vulnerabilities through in many East European an important component dation is to support social countries and the Balkan of the ING Chances for entrepreneurs who contri- relevant solutions that States. It is owned by the Children program. On the bute to sustainable human protect their livelihoods.

Ultimately, by creating an Erste foundation. They other hand, it has entered development in Central enabling environment that run GoodBee a for-profit a corporate partnership and Western Africa. The links microinsurance units microfinance and social with UNICEF to lend its Foundation supports inito reinsurance, we ensure entrepreneurship initiative. support to developing tiatives reinforcing access sustainable operations of nations. Since the launch to knowledge and skills community-based micro Houthoff Buruma of the program in 2005, and encouraging active health insurance schemes.

ING Chances for Children Houthoff Buruma is a leaparticipation in social and ding, independent, full-ser- has been actively involved economic life.

29

THE WORD ON THE STREET JUNE 2010

Microfinance Opportunities

facilitator, lender, advocate the national, regional and and educator for and on be- global levels for leading Microfinance Opportunities half of the other America. social innovators that highis a chairing organization light social entrepreneuralong with Freedom from PAICABI- Corporacion ship as a key element to adHunger for the Global Fide Promocion y Apoyo dress social and ecological nancial Education Program. a la Infancia problems in an innovative, Before joining Microfinance Strong Child Rights orgasustainable and effective Opportunities, Meredith nization. Good relationship way. trained teachers, develowith the government. ped curricula and taught Strong on Non Formal SEEP Network at universities in Mexico, SEEP is a network of MFIs the Czech Republic and Plan International and NGOs focusing on saSyria. She also served as vings led microfinance and Netherlands a facilitator for two youth Plan International Nether- other approaches relevant leadership programs and as lands is a child centered to Aflatoun- CFB. the coordinator of a human development organizarights training program. tion. The organisation has Shanghai Better programs in 46 countries in Education DevelopMicroSave (Kenya Central and South America, ment Center East and Southern Africa, Shanghai Better Education Office) Certified Service Provider Europe and Asia. Apart Development Center focufrom child sponsorship, ses on educational service National Foundation Plan International raises to schools for children from grant funds for health 6-18. It provides educatifor Teaching care, education, livelihood, onal consulting on school Entrepreneurship The Network for Teaching habitat and building relati- management, student perEntrepreneurship (NFTE) onships. formance, and curriculum inspires young people to development. succeed in school and in Pomoc Deci (Udruzenje life by seizing educational Skoll Centre for Social gradjana) opportunities and starting Pomoc Deci is an NGO Entrepreneurship their own businesses. and since 2003 has been Said Business School working to promote Social entrepreneurship New Perspectives childcare and education for center of Oxford Univerchildren and their families. sity, supporter of Aflatoun Foundation The New Perspectives The program is live in five Foundation is a NGO esta- schools reaching 5000 kids. The Banking Associablished in 1995 and working The program has a spetion South Africa for the strengthening of cial emphasis on working The broad role of The Bancivil society across the Rus- with adolescents and on king Association is to “estasian Federation. promoting tolerance for blish and maintain the best minority ethnic groups like possible platform on which Operation Hope the Roma people. banks can do responsible, Operation HOPE is a noncompetitive and profitable profit, public benefit orga- Schwab Foundation banking”. nization based in America. for Social EntrepreThey are a leading provider neurship The Ministry of State of economic tools and ser- The Foundation provides for Family & Population vices. HOPE is an effective unparalleled platforms at The Ministry of Family and

Population Affairs was established in 2009. They are the highest authority on family empowerment, planning, and justice, as well as volunteerism, drug prevention and children’s issues.

The Private Education Development Network (PEDN) PEDN is a notfor-profit association of selected individuals who promote entrepreneurship skills and business education among educators and youth in Uganda.

Vision Solidaria Visión Solidaria has focused on youth initiatives since 2001. Its mission is to promote social responsibility and values in youth and children of Peru, through volunteer work, educational programs and social projects.

Volans Focusing on the business of social innovation, Volans is part think-tank, part consultancy and part broker.

They are a mission-driven, for-profit company based in London and Singapore and they work globally with entrepreneurs, businesses, investors and governments to develop and scale innovative solutions to financial, social and environmental challenges.

30

THE WORD ON THE STREET JUNE 2010

World Economic Forum without economic progress participation and power of The World Economic Forum is an independent, international organization incorporated as a Swiss not-for-profit foundation.

We are striving towards a world-class corporate governance system where values are as important a basis as rules. Our motto is ‘entrepreneurship in the global public interest’. We believe that economic progress without social development is not sustainable, while social development

is not feasible.

WSBI World Savings Bank Institute WSBI is the global representative of savings and retail banking. WSBI represents savings and socially committed retail banks or associations.

WWB Women’s World Banking The mission of the WWB global network is to expand the economic assets,

low-income women and their households by helping them access financial services, knowledge and WWB provides support, advice, training and information to a global network of 40 microfinance institutions and banks that offer credit and other financial services to more than 20 million lowincome people — primarily women — in 28 countries worldwide.

31

Annex 4: Expertâ&#x20AC;&#x2122;s Survey Organisation Information 1. What type of institution is the organisation where you work?

Bilateral Agency Central Bank Cooperative/ MFI Corporate Bank Donor Foundation Government International Corporation, non-bank International NGO Multilateral Agency National Corporation, non-bank National NGO University/Research Institution Other N/A Other, please specify

2. Please specify the country you work in 3. Please indicate the primary area of work of your organisation Children and Youth Civic Engagements Communication/Media Corporate/Retail Finance Enterprise Development Environment Financial Inclusion Health Homelessness and Housing Human Rights Education/Learning Microfinance National Policy Making

32

Rural Development Technology Other Other, please specify

4. Please indicate your role Board member Senior management Middle management Junior management Senior Executive Junior Executive Senior academic Junior academic (PhD) student Other

Children's Financial Education and Rights 5. How effective, in your opinion, are international efforts to protect and develop child financial rights?

Very Effective

Not Effective

6. Which of the following should receive more attention in education systems worldwide?

Please rank from 1 to 5 with 1 being “highest attention needed” and 5 being “least/no attention needed” Increasing self-belief and confidence in children Instilling basic financial habits, attitudes, and know-how in children Encouraging entrepreneurship Encouraging lifeskills development Awareness of child rights and responsibilities among children Other, please specify

33

7. Are you aware of any good examples of work dealing with any of these issues? If yes,please explain.

8. Which of the following hinder the development of financial skills in children the most? (i.e. financial knowledge, awareness, attitudes, behaviour) Lack of understanding on how to best use money and resources Does not hinder at all

Definitely does

Low personal savings due to limited, unsafe, or no effective saving options Does not hinder at all

Definitely does

High drop-out rates and low school take-up rates due to limited access to finance Does not hinder at all

Definitely does

Low entrepreneurial skill development due to low or no investment options Does not hinder at all

Definitely does

Other, please specify

9. Which of the following financial products or services aimed at children should be a part of a global agenda for expanding financial empowerment of children? Please check all that apply.

Targeted insurance products for children Investment products for children (e.g. Child mutual funds, Child savings bonds) Savings accounts for children Children's savings accounts at birth with government contribution Children's savings accounts at birth without government contribution School loans for children Tele-banking service â&#x20AC;&#x201C; 1 phone per school Tele-banking service with individual accounts Childrenâ&#x20AC;&#x2122;s Stock Exchange - the concept of enabling and allowing children to rate and value companiesâ&#x20AC;&#x2122; stocks based on their CSR policies and economic, social and ecological impact in a virtual environment Other

34

Other, please specify

10. What type of participation can financial institutions have in developing the field of childrenâ&#x20AC;&#x2122;s finance? Please check all that apply.

Limited participation: Limit their participation to providing financial products and services Indirect participation: Act as donors/sponsors of programmes aimed at increasing awareness of/implementing this concept Direct participation: Work closely with social organisations as thought partners in shaping child education curriculum around financial education Direct participation: Work closely with schools to teach and demonstrate bank accounts usage and importance 11. Are you aware of or have participated directly or indirectly, in any financial instruments targeted specifically at children with no regular income and extremely small savings?

Yes

No

Please specify the country(ies) and organisation that you came across the financial instruments /Service in

12. What barriers do you see in your organisation in developing financial products or services that benefit children? Check all that apply.

Low or no revenue through products targeted at children High risk due to no regular family income Laws and regulations preventing children from access Lack of organizational expertise in this area No organizational relevance/not aligned with organisationâ&#x20AC;&#x2122;s mission Lack of relevant technology to ensure ease of access Other Other, please specify

35

13. Which one of these barriers do you think can be removed, and how?

14. Is your organisation currently subject to laws and regulations that â&#x20AC;&#x201C; Require you to provide children with access to financial products on terms different from your customary banking terms Prohibit you to provide access to certain financial products or services (e.g. consumer lending) to children Other Other, please specify

15. Which one stakeholder would you like to see more engaged in advancing the field of finance for children and what could be their incentives to engage?

16. Would you or your organisation be interested in being actively involved in the development of the field of child finance?

Yes

No

Final Thoughts 17. How do you think your organisation can add value to the field of child finance? Please check all those that apply.

Awareness through advocacy Evaluation of programmes Implementation of programmes In-kind services (such as academic thinking, voluntary teaching, pro-bono support) Developing regulations Enforcing laws and regulations Financial support Other

36

Other, please specify

18. Does your organisation include child financial rights in its policies?

Yes, we have a specific internal policy/link to an external policy on ‘child financial rights’ Yes, we have other policies that include ‘child financial rights’ No, we don’t include ‘child financial rights’ in our organizational policies 19. Would you be able to share it with Aflatoun?

Yes No Please share your email with us.

20. Would you be prepared to implement a global ethical code for financial institutions related to children’s financial rights?

Yes, we would be interested Yes, with certain key conditions to adhere to our organisation policies No, not interested

21. Which are some of the key activities that you think are definitely needed to build the field of child finance? Please check all that apply.

International Child Finance Day annually Children’s finance week in every country to encourage understanding and importance of saving International Year for child finance A global child finance network organisation Annual summit on child finance Children’s social and financial education curricula in each country Children’s films on child social and economic rights and education A global cartoon character /mascot to create interest in children to save Regulation for banks to have child friendly banking products Resources from national governments, private sector and foundations Compulsory children’s accounts at birth

37

Compulsory childrenâ&#x20AC;&#x2122;s accounts with government funds at birth Academic Research on the issue Other Other, please specify

If you would like to receive a summary of the survey results, please fill in your details below (the individual survey results will be kept anonymous) Name Email

38

Annex 5: Children & Youth Survey for Child Finance How old are you? (this survey is for children 18 and below) * Which city or town do you live in? *

THE WORD ON THE STREET JUNE 2010

Which country do you live in? *

Agree or Disagree Read the statements. Check the box if you Strongly agree, Agree, Disagree, Strongly disagree or Undecided. After each statement, please explain your answer.

1. It is important for children to learn about saving money at an early age.

Strongly agree Agree Undecided Disagree Strongly disagree Please explain. _____________________________________________________________________ 2. I feel that I need to learn more about saving money and other topics on financial education from school.

Strongly agree Agree Undecided Disagree Strongly disagree Please explain. _____________________________________________________________________ 3. I save money already.

Yes, I save regularly Yes, I save but not very often Not sure No, I don’t but I try No, I don’t If you save, please explain and tell us where you save. If you don’t, please explain why not. _____________________________________________________________________________ 4. Children (below 18 years) should be allowed to have their own bank accounts and manage them.

Strongly agree Agree Undecided Disagree Strongly disagree Please explain. _____________________________________________________________________ 5. Parents or guardians should be the only ones allowed to open bank accounts for children below 18.

Strongly agree Agree Undecided Disagree Strongly disagree Please explain. _____________________________________________________________________ 6. It is alright if banks have rules on whether children can withdraw their money or not.

Strongly agree Agree Undecided Disagree Strongly disagree Please explain. _____________________________________________________________________

39

7. Modern technologies like TV, internet and mobile phone should be used so children can get information and services on finance. * Strongly agree Agree Undecided Disagree Strongly disagree Please explain. _____________________________________________________________________

THE WORD ON THE STREET JUNE 2010

Checklist & Suggestions 8. If you will receive financial education, which topics would you like to learn more about?

Please check all that is applicable. * value and importance of saving money practical exercises on saving individual personal skills and development knowledge on ways to save and invest creating more ways to save new technologies that we can use (mobile phone & internet) I don’t want to learn about saving money at all setting up and enterprise planning and budgeting Others If you checked “Others” above, could you give some suggested topics for financial education. _____________________________________________________________________________ _____________________________________________________________________________ _____________________________________________________________________________ Suggestions for learning about savings 9. Listed below are some activities that may help children learn about saving and managing money? Please tick if this is something you would like or not like. a. Have a Child Finance Week in my country where there are activities for us to learn more about saving & managing money.

Like Don’t know Don’t like b. Have an International Child Finance Day every year Like Don’t know Don’t like c. Have each school hold classes where we learn about saving, spending, planning, budgeting & enterprise.

Like Don’t know Don’t like d. Show children’s films where we learn about our social & economic rights.

Like Don’t know Don’t like e. Have a global cartoon character to create interest and friendliness in saving.

Like Don’t know Don’t like

40

f. Have a website that I can visit to learn about different topics and share stories with others.

Like Don’t know Don’t like Do you have other suggestions? ________________________________________________ _____________________________________________________________________________

THE WORD ON THE STREET JUNE 2010

Suggestions for saving money 10. Listed below are some activities that may help children practice saving and managing money.

Please tick if this is something you would like or not like. a. Banks should make it easier for children to open bank accounts and use other products by themselves.

Like Don’t know Don’t like b. Banks should make it easy for me to withdraw money from my account if I want to.

Like Don’t know Don’t like c. Every child should have a bank account as soon as they’re born.

Like Don’t know Don’t like d. Government should allocate funds to open children’s bank accounts when they are born.

Like Don’t know Don’t like e. More studies should be done on this topic.

Like Don’t know

Don’t like

Do you have other suggestions for encouraging children to save and manage money? _____________________________________________________________________________ _____________________________________________________________________________ _____________________________________________________________________________

Free speech Please answer the questions as truthfully, and as thoughtfully as you can.

11. Do you have a savings account? If yes, please describe how you got it and how often you use it?

If no, why not? _____________________________________________________________________________ _____________________________________________________________________________ _____________________________________________________________________________

41

12. When you become a parent, would you encourage your own child to open their own bank accounts and manage it? Please explain your answer. _____________________________________________________________________________

THE WORD ON THE STREET JUNE 2010

_____________________________________________________________________________ _____________________________________________________________________________ 13. If you could design your own savings account product, what would be some of its rules? What is the minimum age? What is the minimum deposit? What are some rules with withdrawing money d. Others? _____________________________________________________________________________ _____________________________________________________________________________ _____________________________________________________________________________

14. If you were the future Minister of Education in your country, what other ways would you help children learn more about saving and basic money management?

What activities would you do? _____________________________________________________________________________ _____________________________________________________________________________ _____________________________________________________________________________

15. If you were the future Minister of Finance in your country, what other ways could you encourage children to actually start saving and open bank accounts? _____________________________________________________________________________ _____________________________________________________________________________ _____________________________________________________________________________

42

THE WORD ON THE STREET JUNE 2010

A special Thank You to Aflatoun’s Global Program Partners AACCU Association of Asian Confederation of Credit Unions African Network for the prevention and Protection Against Child Abuse and Neglect-Liberia Chapter Agape Copeland Train Associacao Wona Sanana Association pour la Défense des Enfants du Niger Association pour la Promotion Féminine de Gaoua (APFG) Ayuda en Accion Honduras Bayti Association Building Resources Across Communities (BRAC) Bureau for Reconstruction and Development CAMIDE-GAP Care Honduras Center of Community Empowerment (CCE/PPM), Atma Jaya Catholic University Centre for Studies in Human Rights (CSHR) Centro de Desarrollo de Educacion Alternativa (CDEA) Child Protection Initiative Child Well Being Fund Child Workers in Nepal Concern Centre (CWIN) ChildFund Ecuador ChildFund Guatemala ChildFund Honduras ChildFund Indonesia ChildFund Kenya ChildFund The Gambia Children Communities and Families Moldova Children International Children of Slovakia Foundation Community Development Society for Thought and Culture Coordinadora por los derechos de la Infancia y Adolescencia (CDIA) Defence for Children International Cote d’Ivoire Ec-Pec Foundation - Hungary EDUCA

Ejercicio Ciudadano Ekphatthan Microfinance Institution Encourage the Future - Lithuania Finca Peru Foundation For Development of Human Resources Fundacion Escuela Nueva Volvamos a la Gente Fundacion Paraguaya de Cooperacion y Desarollo GOAL Sierra Leone Halley Movement Hampshire Children’s Services Himilo Relief and Development Association (HIRDA) Hiwot HIV/AIDS Prevention Care and Support Organization (HAPCSO) IMIFAP International Child Support (ICS) Asia International Child Support Africa Jordan River Foundation Junior Achievement Nepal Kampuchean Action for Primary Education (KAPE) Kapilvastu Information Center (KAPINCE-Nepal) Kosovo Education Centre Learning Assistance Program for Islamic Schools (LAPIS) Linking the Youth of Nigeria through eXchange (LYNX) Maryland Helper Meljol Ministry of Social Affairs Lebanon The Higher Council for Childhood Mongolian Pupils Federation National Confederation of Cooperatives (NATCCO) Oceanium ODAER-Organizacion Para el Desarrollo Ambiental y la Educaci PAICABI- Corporacion de Promocion y Apoyo a la Infancia Paniamor Partnere per femijet Plan International Colombia Plan International Dominican

Republic Plan International El Salvador Plan International Honduras Plan International Mozambique Plan International Nicaragua Plan International Peru Plan International Sudan (North) Pomoc Deci (Udruzenje gradjana) Reliable Future Youth Organization (Umidli Gelecek Gencler Teskilati) Sahil Saodat Shanghai Better Education Development Center Society for Safe Environment & Welfare of Agrarians in Pakistan (SSEWA Pak) SOS Kinderdorfen Armenia SOS Kyrgyzstan The Ministry of State for Family & Population The Private Education Development Network (PEDN) UMUSEKE Vesta Vietnam Association for Protection of Childrens Rights Vision Solidaria War Child Holland D.R.Congo Women and Development Project (WADEP) World Vision Brasil XAC Bank Yemeni Assembly for Development of Youth Talents & Innovations (YADYTI) Youth Action International Sierra Leone Youth Net and Counselling

43