Financial literacy is the possession of knowledge, skills, and behaviors that enable individuals to make informed and effective decisions regarding their money. It encompasses understanding financial concepts such as budgeting, managing debt, saving, investing, and planning for retirement, as well as the ability to apply this knowledge in real-life financial situations to achieve personal financial goals

. Key aspects of financial literacy include:

• Understanding how to budget and manage personal finances
• Knowing how to use credit and investment products wisely
• Being aware of risks involved in borrowing and investing
• Planning for long-term financial needs such as retirement and emergencies
• Protecting oneself from financial fraud and over-indebtedness

Financial literacy is crucial for navigating the increasingly complex financial landscape, making sound financial decisions, and improving financial well-being. It also supports financial resilience and helps individuals avoid pitfalls like unsustainable debt and poor credit

. In summary, financial literacy equips people with the skills and confidence to control their money rather than being controlled by it, enabling them to make smart financial choices throughout their lives