On September 7-8, 2017 the first Kazakhstan Microfinance Forum “Financial Literacy Improvement as a Factor of Social and Economic Growth” was held in Almaty. The Forum was organized by the microfinance institution KMF with the support of the Association of Microfinance Organizations of Kazakhstan (AMFOK) and the National Bank of Kazakhstan. More than 30 experts in the field of financial literacy from 12 countries, as well as representatives of the National Banks of Kazakhstan, Kyrgyzstan, Georgia, and Russia took part in the Forum. In total, the Forum was visited by more than 220 participants, including specially invited participants of the project "Raising Financial Literacy". In 2014, rating agency Standard & Poor's conducted the study of the level of financial literacy of the adult population throughout the world. If we take 100% as a maximum, then the level of financial literacy of the population worldwide varies from 71% to 13%. The global leaders are the people of Scandinavian countries - 71% of adults in these countries know how to manage money. The top ten also included Israel and developed European countries. In CIS countries, the level of population literacy varies from 21 to 40%. Outsiders of the rating are Afghanistan (14%), Albania (14%) and Yemen (13%). 40% of the Kazakhstan adult population is recognized as financially literate people. An important topic for discussion was the proposal of forum participants to create an Expert Board under the National Bank of Kazakhstan, as a single discussion platform for considering and promoting projects to increase financial literacy in the country. It is expected that the Expert Board will include representatives of government agencies, financial sector, independent experts, public figures, the media and other stakeholders. Shalkar Zhussupov, Chairman of KMF Management Board: We, as a company, have gained invaluable experience in the field of financial literacy improvement that has already been carried out in foreign countries. We can tailor this experience to our activities aimed at increasing financial literacy among our clients. We really did see once again how positively the financial literacy of the population affects the country’s socio-economic growth. Speakers noted the urgent need for discussion of this issue, and this convinced us even more of the correctness of the path chosen by us, the path that is accompanied by the slogan “Provide training while providing loans”. I hope that this Forum will serve as an impetus for the development of financial literacy at the national level, where the National Bank is the key driver, in analogy with other countries, and we, in our turn, will continue to implement our financial literacy programs. According to the Director of the Association of Microfinance Organizations Anatoly Glukhov, nowadays financial institutions pay great attention to financial literacy, since a competent borrower is not only the equivalent of good payment discipline, but also brings him success and additional opportunities. Deputy Chairman of the Board of the National Bank of the Republic of Kazakhstan Dina Galiyeva said that next year, the National Bank plans to conduct a sociological survey on the level of financial literacy of the population as a part of the Program for raising the financial literacy of the population. It will be an indicator of the effectiveness of the implementation of the program and a kind of starting point for the creation and implementation of subsequent policy documents in the field of improving financial literacy. “The forecast indicators expected from the implementation of the Program include such indicators as the growth of household savings and the growth of lending to the economy”, - noted Dina Galiyeva. At the end of 2018, upon completion of the Financial Literacy Improvement Program, it is planned to begin the development of the National Strategy. The Ministry of Education of the Republic of Kazakhstan, association of legal entities “Association of Kazakhstan financiers”, financial institutions, local executive bodies, public organizations and the media are planned to take part in these efforts. Among other plans is to intensify cooperation with international organizations that are working to increase the financial literacy of the population. On the morrow of the first day of the Forum guests, speakers, participants, customers and employees were invited for a cocktail reception with a birthday cake in honor of the 20th anniversary of KMF and KMF-Demeu. During the dinner, an auction was held by charitable foundation “Eldani”. Participants and guests of the Forum purchased beautiful souvenirs made by children with serious illnesses - infantile cerebral palsy, epilepsy and mental development disorders. Presentations of the speakers and video interviews can be found on the official Forum website: www.kmforum.kz
