Assessing Financial Literacy of Higher Secondary Students in Maldives.

Abstract

This quantitative study aimed at assessing the financial literacy of higher secondary education students residing in Haa Dhaal Atoll (Northen Atoll) of the Maldives. Data was collected from 177 students, and simple random sampling students were randomly selected. The methods of data analysis were Exploratory Factor Analysis along with hypothesis testing to analyze the data. Results indicate that there is a strong relationship between financial awareness and financial self-efficacy while there is moderate relationship between financial experience and financial self-efficacy as well as moderate relationship between financial self-efficacy and financial behavior. Studies to assess financial self-efficacy of students are seldom conducted in the Maldives, hence, this gives two primary implications; one for academia as this study adds to the current body of existing literature. The second implication is to the public; educational ministry and authorities responsible for devising financial programs can curate programs that would equip students with the most crucial financial skills they require. There is limited literature based on the financial literacy of Maldivian students; hence, this is a novel study. While few studies have been conducted on financial literacy based in the Maldives, the analytical studies are limited.