{"id":47965,"date":"2025-11-27T09:00:00","date_gmt":"2025-11-27T08:00:00","guid":{"rendered":"https:\/\/www.11onze.cat\/?p=47965"},"modified":"2025-11-17T11:06:12","modified_gmt":"2025-11-17T10:06:12","slug":"european-failure-financial-literacy","status":"publish","type":"post","link":"https:\/\/www.11onze.cat\/en\/magazine\/european-failure-financial-literacy\/","title":{"rendered":"European failure in financial literacy"},"content":{"rendered":"<div class=\"component text\">\n  <div class=\"container\">\n\n\n    <div class=\"row\">\n      <div class=\"col  col-lg-8  offset-lg-2\">\n        <h3><b>Only one in three adult European citizens has a minimum level of financial literacy, according to a new report by the Organisation for Economic Co-operation and Development (OECD). This means that most people need to gain the necessary knowledge to manage their money effectively.<\/b><\/h3>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">Financial literacy is <\/span><b>a necessary skill that is essential for everyday citizens.<\/b><span style=\"font-weight: 400;\"> It is difficult to make the right decisions when managing a household, planning savings, applying for credit or taking out a mortgage if we do not have a minimum level of financial literacy.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In this context, and amid the <\/span><a href=\"https:\/\/www.11onze.cat\/en\/magazine\/please-some-financial-education\/\"><span style=\"font-weight: 400;\">debate<\/span><\/a><span style=\"font-weight: 400;\"> on the poor academic results of Catalan students in the fourth year of ESO in the PISA tests, the Organisation for Economic Cooperation and Development (OECD) presented a devastating <\/span><a href=\"https:\/\/www.oecd.org\/publications\/oecd-infe-2023-international-survey-of-adult-financial-literacy-56003a32-en.htm\"><span style=\"font-weight: 400;\">report<\/span><\/a><span style=\"font-weight: 400;\"> on financial education in Europe. According to this study, <\/span><b>only 34% of European adults have a minimum level of financial literacy<\/b><span style=\"font-weight: 400;\">. Therefore, a large proportion of citizens do not have the necessary skills to manage their finances effectively.<\/span><\/p>\n<p><b>Only Irish and German citizens achieve the minimum financial literacy threshold of 70 out of 100<\/b><span style=\"font-weight: 400;\">. This is a worrying result given the pressures on household budgets in the current economic climate, which increases the risk of indebtedness and other economic downturns.<\/span><\/p>\n<h3><b>Financial literacy at an all-time low<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">While 84% of adults in the 39 countries participating in the survey understand the definition of inflation, <\/span><b>only 63% know how to apply the concept of the time value of money to their savings<\/b><span style=\"font-weight: 400;\">. Specifically, how inflation impacts the time value of money by reducing the purchasing power of money over time.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Furthermore, although the results show that <\/span><b>around 77% of adults understand the relationship between risk and reward<\/b><span style=\"font-weight: 400;\">, only 42% of respondents across all countries can correctly answer a question about compound interest (interest that is added to the initial principal and on which new interest is generated). Even among adults with savings products in these countries, only 46% understand the concept of compound interest.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The OECD also warns that the spread of digital financial services, which accelerated during the pandemic, <\/span><b>makes it more necessary than ever to equip people with the right knowledge and skills to use these products and services safely<\/b><span style=\"font-weight: 400;\">. Moreover, the introduction of digital currencies and other crypto-assets into the economic ecosystem, which is leading to an increased incidence and complexity of financial fraud and scams, also highlights the need to strengthen the financial literacy of adults to prevent cybercrime.<\/span><\/p>\n<h3><b>11Onze\u2019s financial education plan<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Empowering citizens through<\/span><b> financial education has been at the heart of 11Onze since its inception<\/b><span style=\"font-weight: 400;\">. Expanding our community&#8217;s knowledge of economics and finance, making all the necessary tools available to them, is one of the founding pillars of the first community fintech in Catalonia.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Since the launch of 1<\/span><a href=\"https:\/\/www.11onze.cat\/en\/11onze-escola\/\"><span style=\"font-weight: 400;\">1Onze Escola<\/span><\/a><span style=\"font-weight: 400;\">, a project that offers training sessions on the world of fintech <\/span><b>so that schools, companies and professional associations throughout the country can teach their students the basics of economics and financial matters<\/b><span style=\"font-weight: 400;\">, we have a unique platform that complements the school curriculum by educating young people in monetary matters and provides them with tools for the creation of wealth.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">With the same purpose of training our community, we promote the lessons in the Learning section, which offers content such as the series <\/span><a href=\"https:\/\/www.11onze.cat\/aprendre\/serie-el-diner\/el-diner\/\"><span style=\"font-weight: 400;\">El Diner<\/span><\/a><span style=\"font-weight: 400;\">, the <\/span><a href=\"https:\/\/www.11onze.cat\/en\/learn\/formacio-11onze-en\/\"><span style=\"font-weight: 400;\">Formacions 11Onze<\/span><\/a><span style=\"font-weight: 400;\"> made by the employees themselves or our short <\/span><a href=\"https:\/\/www.11onze.cat\/aprendre\/\"><span style=\"font-weight: 400;\">Courses<\/span><\/a><span style=\"font-weight: 400;\">. In addition, in the <\/span><a href=\"https:\/\/www.11onze.cat\/en\/11onze-tv\/discover\/\"><span style=\"font-weight: 400;\">Descobreix<\/span><\/a><span style=\"font-weight: 400;\"> section of 11Onze TV you will also find pieces by our agents on topics of interest for our day-to-day work. Because from the very beginning it was clear to us that <\/span><b>without a good financial education, we will hardly be a free society that can decide its future<\/b><span style=\"font-weight: 400;\">.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><b>11Onze is the community fintech of Catalonia. Open an account by downloading the super app El Canut for <\/b><a href=\"https:\/\/play.google.com\/store\/apps\/details?id=com.e11onze.app&amp;utm_source=emailing&amp;utm_campaign=CANUT+launch\"><b>Android<\/b><\/a><b> or <\/b><a href=\"https:\/\/apps.apple.com\/us\/app\/11onze\/id1566129237?utm_campaign=El+Canut\"><b>iOS<\/b><\/a><b> and join the revolution!<\/b><\/p>\n\n      <\/div>\n    <\/div>\n  <\/div>\n<\/div>\n\n\n<div class=\"component cards\">\n  <div class=\"container\">\n    <div class=\"row\">\n      <div class=\"col col-xl-8 offset-xl-2\">\n        <h1>If you liked this article, we ewcommend:<\/h1>\n        <div class=\"cards__wrapper\">\n          <div class=\"card\">\n            <a href=\"https:\/\/www.11onze.cat\/en\/magazine\/please-some-financial-education\/\" class=\"card-link\" target=\"_self\"><\/a>\n            <div class=\"card-img\">\n              <img decoding=\"async\" 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in Europe<\/strong><\/p>\n              <span class=\"card-time\">3 min read<\/span>\n              <p class=\"card-text small\">The European Commission and the OECD\u2019s&#8230;<\/p>\n            <\/div>\n          <\/div>\n\n              <\/div>\n              <br>\n              <br>\n              <div class=\"cards__wrapper\">\n\n        <\/div>\n      <\/div>\n    <\/div>\n  <\/div>\n<\/div>","protected":false},"excerpt":{"rendered":"","protected":false},"author":71,"featured_media":47960,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","footnotes":""},"categories":[1],"tags":[178],"class_list":["post-47965","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized","tag-cultue"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>European 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