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.

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.