1. Providing High Quality Financial Education in School,
Innovative Practices and Effective Approaches
- Malaysia’s Experience
Ooi See Eim
Consumer and Market Conduct Department
Central Bank of Malaysia
21 April 2016

2. Financial education (FE) in Malaysia targets key life events throughout life stages
School
Tertiary Education
Entering Workforce
Starting a family
Raising a family
Retirement
Example of Key Life Events
Open and operate bank account / pocket money mgmt.
Online purchases
Obtain study loan
Getting a part-time job
Use credit card
Buy a car/house
Pursue hobby
Provide guarantee
Pursue investments
Plan for marriage/ honeymoon
Have a baby
Childcare
Purchase insurance
Children’s education
Family recreation
Change job
Healthcare
Support immediate & extended family
Planning for Retirement
Managing retirement fund
Support dependents
Pursue hobbies/ part-time job
Estate planning
Unexpected Life Events – e.g. losing job/money, untimely demise, divorce and receiving a windfall
Common Elements: Essential financial skills and knowledge
Budgeting
Saving
Spending
Managing debt
Investing
Managing
risk
Rights & Responsibilities
Products & services 2

3. FE in school evolved from co-curriculum activities to learning in classroom to ensure sustainability and effectiveness
Phased-in roll out of FE elements into new school curriculum
FE in schools via co-curriculum activities
2016
and beyond
2004
2014/15
1999
Integration of FE elements in school curriculum
Financial education website
1998
School financial club
2016
Elevate FIs’ roles as technical experts for reference by teachers
Develop FE portal with dedicated sections for school children and teachers
Assess on implementation of FE in curriculum
2017
Integrate FE in curriculum for secondary schools
2021
Full integration of FE elements in all school levels
1997
Pocket money book
Integrate FE in curriculum for primary schools, starting from year 4
Core subjects (e.g. English Language, Malay Language, Mathematics)
Engage school heads, equip teachers with financial management knowledge and skills
Develop FE modules, lesson plans, textbooks
School adoption
programme
an interactive online financial education tool aimed to enhance financial literacy among school children
Comprise of interactive financial games, quizzes, financial calculations, online pocket money book
Total membership of about 113,000
A platform for FIs to educate school children on personal money management
Children engaged in money and finance related activities through workshops, visits to FIs and knowledge-sharing sessions
Buku Wang Saku (pocket money book), a tool to educate and assist school children to manage their pocket money and to take control of their finances
14 million copies distributed
Schools adopted by financial institutions (Fis)
Activities carried out by Fis to enhance knowledge on banking and basic financial matters
Participated by about 10,000 government-aided schools

4. Financial literacy elements to empower children to build, manage
and protect personal wealth
FL2: Financial Responsibi-lity and Decision Making
FL1:Money, Source of income and Career Choice
FL3:Money Manage-ment and Planning
FE Elements
FL4:Savings and investment
FL6: Risk Manage-ment, Wealth Protection and Insurance
FL5: Credit and Debt Management
Definition of money, sources of income
Factors affecting income eg demographic background, taxation, etc
Types of payment instruments
Income vs spending decision
Make personal financial decisions
Usage of financial information
Consumer protection law
Definition of contracts
Benefits of savings/investments including build wealth, achieve financial goals, financial well-being
Definition and types Investments
Risk and return concept
Depositors and investors protection
Identify needs and wants
Set financial goals
Create and record financial plan
Alternatives and consequences of financial decisions
Definition and types of credit instruments
Responsible credit management
Rights and responsibilities as borrowers
Avoiding debt trap and address credit problem.
Protection of identity
Common types of risks and basic risk management
Purpose and importance of insurance/takaful protection
Types of non-insurance protection
Complexity increased progressively according to school levels

5. Collective efforts are important
Factors contributing to successful implementation of FE in schools
Collective efforts are important
Ministry of Education as implementor
Establish and grow enabling infrastructure
Central Bank plays leadership role
Buy-in and understand importance of FE from young
Leverage on revision of curriculum
Support development and use of teaching aids
Implement training of teachers
Perseverance in pursuing
FE in school
Commitment- technical advice & financial support
Develop FE standards
Trainings/workshops
Resource person in capacity building
TOT for teachers
Support development of teaching aids
Teachers’ guides
Text books
Exposure to school heads
School adoption programme
FIs as technical experts for teachers’ reference point
FE in co-curriculum
Pocket money book to inculcate habits to keep financial records
an interactive online financial education tool
BNM Money Museum and Art Gallery