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this before you attempt essay writing on the topic
“Importance of Financial Literacy for Viksit Bharat”
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Introduction to Financial Literacy
Learning the skills of managing personal or family money, understanding about the sources of money, making choice on expenses, savings, learning about investment, loans, etc. with an overall goal to create wealth for oneself comes under Financial Literacy.
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The Concept of a Viksit Bharat
“Viksit Bharat” translates to a ‘Developed India’. For a developed nation, all citizens will need to experience progress and the foundation of this knowledge/financial literacy should be laid at a very young age.
India is all set to become World’s superpower with growing economy and its energetic young population. In the year 2047 India will turn 100 years and You, the children studying in the schools today will be in the forefront of this growth.
Link to Financial Literacy: Financial literacy is essential for economic development and plays a significant role in not only transforming India into a developed country, but also in participating in the growth, and benefiting from this growth.
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Elements of Financial Literacy
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Understanding the value of ‘money’
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Effective use of household income
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Planning
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Budget
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Savings
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Expenses
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Investment
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Creating wealth in the long-term
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Loans/Borrowings i.e. debt
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How Financial Literacy helps in Personal Development & Growth
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Helps individuals manage their money effectively, plan for the future
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Enables people to understand different investment options, risks, and returns, leading to better wealth creation
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Teaches the importance of planning, budgeting, allowing individuals to live within their means and save for emergencies and invest for their financial goals like studying abroad, travelling, choosing off-beat career options
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Financially literate individuals are more likely to start and sustain businesses, contributing to economic growth
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Encourages a culture of saving and investing, leading to capital formation and economic development.
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Helps in uplifting one’s lifestyle.
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Social Impact
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Financial literacy will help all sections of society to manage their finances well and not fall prey to unauthorised sources of lenders thus avoid debt traps.
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Save individuals from financial frauds/scams
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Strong economy and empowered citizens will make a sustainable society.
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Building a Financially Literate Bharat for a Viksit Bharat
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Holistic Development: Financial literacy is about empowering individuals to make decisions that lead to a better quality of life.
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Vision for the Future: A financially literate population is key to achieving the dream of a developed and prosperous Bharat.
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Tips for Writing the Essay
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Essay word limit - Minimum 300 words
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Structure:
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Introduction: Define financial literacy, explain its importance
Bring context of developing nation.
Discuss role of financial literacy in various aspects of development,
Current challenges India faces in this area, provide examples, use statistics if possible.
Mutual Funds – Mutual Funds are ideal to help you plan your life goals!
Conclusion: Summarise your thoughts, explain importance of financial literacy to the vision of a Viksit Bharat and suggest ways to improve financial literacy in India.
Participant may feel free to write what they think.
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