Financial literacy in Austria

Abstract

Austria is a small, but relatively wealthy and well-developed economy at the heart of Europe. It has a well-established vocational education system at the secondary level that provides profound economic education. Nevertheless, recent research has shown that a considerable number of people lack basic financial knowledge and skills. Some of them are struggling to pay their bills and need to seek professional help to deal with their debts. Like in many other countries, there is an urgent need to improve the understanding of money and financial matters and to teach people how to prudently deal with money and plan their finances. Such efforts could (and should) be integrated into a national strategy for financial education as encouraged by the OECD. Such a strategy does not yet exist but could be developed on the basis of many initiatives that have already been put in place. Its main aim would consist in improving economic education-and financial education as a vital part of it-as a key element on all levels of schooling and in all types of schools, supplemented by initiatives to support people in all phases of their lives to make sound financial choices.