Despite efforts to create awareness on financial literacy in the country, only one-fourth Indian adults are financially literate. This is much lower than world average and even lower than BRICS average. A Standard & Poor’s Global Financial Literacy Survey says 26% of adults in the richest 60% of households are financially literate, compared to 20% of adults in the poorest 40% of households. India’s income gap deepens when broken by topic. Poor adults are 21 percentage points less likely than richer adults to correctly answer the compound interest topic.
