A 21 year old Meena has just got a job in a call centre in Gurgaon. She earns Rs. 8,000 per month which is directly credited to her salary account. This is Meena’s first bank account. However, she does not know how to operate it. She is yet to learn how to write a cheque or make a demand draft. This story is not just that of Meena but of a majority of the workforce in India.
Youth of our country are sincere, hard-working, focused and aim at becoming successful managers, doctors, lawyers, teachers, scientists, etc. There is one aspect however that can better prepare them for the future and that is “financial education”!
Yashwinder, a 16 year old student has collected Rs. 1,000 in his piggy bank. He is quite excited as he plans to buy a new pair of shoes. Yashwinder may not understand the significance of spending Rs.1,000 now rather than saving it, but he does know the value of money, considering that it took him more than 3 months to save this amount.
In life, you have to make many decisions that will affect your future. An important decision is whether or not you will take your money seriously and be financially responsible. Preparing the next generation for future challenges is a big responsibility. With countries defaulting and facing economic crisis, the complexities of managing finances are out in the open!
Genesis of Sanchayan Society
Sunita, a middle-income group housewife, saves an average of Rs.3,000 per month. Sunita does not have a demat account or a trading account. She realises ‘Money not invested is Money lost’ as the prices of everything keeps going up. She is keen to invest her savings. However, she does not have knowledge about the investment opportunities available in the market.
Sunita is not an exception but a common rule for the average Indian housewife!
Financial education is the process by which people improve their understanding of financial products, services and concepts. This enables them to take efficient financial decisions and actions to improve their present and long-term financial well-being.
Sanchayan Society, a non-profit organization, was conceptualised with the sole purpose of creating
a financially literate India
Genesis of Sanchayan Society
In the developed countries like the US, Canada, Australia and UK, financial education is a part of the curriculum and there is a huge awareness and participation by the entire community comprising of parents, teachers, government, NGOs, etc. Sanchayan Society seeks to create a financial literacy revolution in India by being the pioneers in this field.
Sanchayan Society is India’s first social venture dedicated to Financial Literacy for youth in India. It was conceptualized with the sole purpose of making our country financially literate so that they can invest in a better future.
Introducing simple financial concepts right from school days would help individuals to understand the importance of managing money and improve their financial well-being.
For this, Sanchayan Society has designed the ‘ MoneyMatters Program ’ which seeks to complement the existing system of education in India. This innovative program has received international recognition from the Organization for Economic Cooperation and Development (OECD).
Genesis of Sanchayan Society
International Gateway for Financial Education (IGFE), an organisation for financial literacy organizations worldwide, has included Sanchayan Society’s financial literacy program as a part of the financial literacy initiatives being undertaken in India. This is along with the financial literacy initiatives undertaken by Reserve Bank of India (RBI) and Securities and Exchange Board of India (SEBI).
The aim of ‘MoneyMatters Program’ is to increase the understanding of personal finance amongst individuals, encourage them to manage money prudently and make them financially aware. Sanchayan has made more than 3,000 individuals financially aware and literate .
Recipients of MoneyMatters workshop designed and delivered by Sanchayan Society
Genesis of Sanchayan Society Sanchayan team member, imparting financial education, at Institution for the Blind, Lajpat Nagar Sanchayan team members, talking about the housing bubble during a financial literacy workshop
Genesis of Sanchayan Society Sanchayan team member, talking about bank accounts during a workshop at Salaam Balak Trust, an NGO in Delhi Sanchayan team member, helping budding entrepreneurs to fill up a bank account opening form
Statistics on Financial Literacy and Inclusion Banks Government Campaigns Educations drives NGOs and SHGs Retired bank officers Financial Literacy Basic Banking No Frills Account Free financial advice Micro Credit Maximum use of Technology Inter Bank Infrastructure Sharing Financial Inclusion
Statistics on Financial Literacy and Inclusion Overall banking penetration - 44.9% Source: Invest India Incomes and Savings Survey 2007 by IIMS Dataworks
Source: Invest India Incomes and Savings Survey 2007 by IIMS Dataworks Statistics on Financial Literacy and Inclusion
Statistics on Financial Literacy and Inclusion Source: Invest India Incomes and Savings Survey 2007 by IIMS Dataworks
Sanchayan Society Mission and Vision
A financially literate India
Financially smart and prudent India
Disseminate financial literacy to underprivileged sections so as to facilitate their financial inclusion
Create awareness about risks involved in financial markets
Create awareness about investor friendly financial products & services
Promote maximum utilization of available financial instruments
Complement the existing academic curriculum in colleges by addition of financial literacy workshops
MoneyMatters Program OECD recognized financial literacy program
Objective MoneyMatters Program
Create awareness about financial instruments to facilitate informed judgments and effective decision making
Encouraging individuals to start saving and investing from an early age
Enhancing understanding of various financial institutions and their functions. For instance – making housewives aware of risks involved in trading in stock markets
Assisting future investors to read and comprehend financial news & data
Helping the future investors understand the functioning of the Indian Economy
Spreading awareness about global financial crisis and its implications for India
Participants MoneyMatters Program
'Arman' DMRC Children Home, Salaam Balak Trust, Tis Hazari,
Bhartiya Vidya Bhavan, K.G.Marg,
Fr. Agnel School
G. D. Goenka Public School, Vasant Kunj
Government Girls Senior Secondary School, East of Kailash
Institution for the Blind, Amar Colony
Sanskriti School, Chanakyapuri, New Delhi
Summer Fields School, Greater Kailash
The Banyan Tree School
The Pinnacle School
many more schools, colleges and non-profits…
Content brief MoneyMatters Program
Basics of Banking
Opening bank accounts
Operating bank accounts
Concepts of Cheques, Demand Drafts, NEFT, RTGS
The importance of savings
Global Financial Crisis
Features of various financial instruments:
Shares Stock Markets
Insurance & ULIPs
Fixed Deposits, NSC, KVP
Gold and ETF
Risks associated with each financial instrument
Workshops to include innovative games and videos on banking and investments
MoneyMatters Program structure Target audience
Everyone wants to be financially responsible. Financial issues affect all aspects of your everyday life such as plans for a family and a home, cost of living etc. Financial prudence is a reward in itself. Ability to manage money is a skill that does not occur naturally to everyone. Unless one is exposed to the practice of money management, he/she is less likely to understand how it works and its long-term benefits.
To be financially literate requires a few simple steps that includes being aware of the power of money and being responsible with money. It also includes buying stocks, saving money, spending money and most importantly making smart all around decisions. Investors who understand financial concepts and investment principles will always have a significant advantage over others.
It’s important to be financially responsible because your success in life depends on it!
Sanchayan Society aims to disseminate financial literacy to future investors:
Deliverables MoneyMatters Program
Awareness and knowledge of day to day ways of managing money
MoneyMatters Program study material and handouts
Gullak (Piggy Bank)
Sanchayan Society brochure
Prizes for Participants for Financial Literacy Quiz
24 x 7 online support and mentoring for investors
Knowledge sharing sessions through the website and online forums ( www.SanchayanSociety.org )
FAQs Sanchayan Society
What exactly is Financial Literacy and Financial Education?
Financial Literacy is simply the ability to understand finance. It is the process by which people improve their understanding of financial products, services and concepts. This empowers them to make informed choices, avoid pitfalls, know where to go for help and take other actions to improve their financial well-being. It is the sum-total of awareness, knowledge and skills to make informed decisions about savings, investments, borrowings and expenditure.
Is financial literacy important for all individuals?
Financial literacy is imperative for all individuals from varied age groups and backgrounds. It should be provided to everyone so that each one of us has a better chance at managing our personal finances in the future.
Does financial literacy mean financial inclusion?
Financial inclusion is the delivery of banking and other financial services at affordable costs to vast sections of disadvantaged and low income groups. Financial literacy is the other side of the coin. It complements financial inclusion. Due to lack of financial literacy and basic education, it is very difficult for these sections to read terms and conditions and access various financial services. Financial inclusion and financial literacy should go hand in hand.
FAQs Sanchayan Society
What does Sanchayan Society do?
Sanchayan Society is a social venture registered under The Societies Registration Act, 1860. Sanchayan Society has been conceptualized to focus exclusively on financial literacy for future investors. It believes in creating a financially literate India. Sanchayan Society implements financial literacy through the MoneyMatters Program.
What is the area of operations of Sanchayan Society?
Sanchayan Society operates across India through a strong network of members and volunteers
Who are the founders of Sanchayan Society?
Sanchayan Society was founded in September 2009 by a group of professionals who share the belief that financial literacy for India’s youth can create informed investors and lead to prosperity in the long run. The founders of Sanchayan Society comprise of experienced and passionate individuals from diverse backgrounds and thus realise the importance of financial education even more.
What is the MoneyMatters Program?
The MoneyMatters Program is an interactive financial literacy program designed by Sanchayan Society. The program has been developed keeping students in mind. It simplifies the concepts of basic personal finance for students to ensure easy understanding.
Participating School will be given a plaque for participating in the program
Sanchayan Society would showcase the participating school on:
Sanchayan Society brochure
Sanchayan Society website
Sanchayan Society online groups
Sanchayan Society presentations
Team Profile Sanchayan Society
Dr. Anand Sharma - Principal Advisor (Honorary), Sanchayan Society
Dr. Anand Kumar Sharma, formerly Chair Professor Railway Finance, Indian Institute of Management (IIM), Bangalore, currently Professor and Chairperson Finance area at Management Development Institute (MDI), Gurgaon, has been a trainer for the last thirty years. His areas of research interest include infrastructure finance, public procurement, public private partnership and public policy. A large section of the country’s civil services including members of the IAS, IPS, and Finance and Accounts services of central and the state governments have benefited from his deliberations. Dr Sharma, a member of Indian Railway Accounts Service (1981 Batch), has served the ministry in various capacities. He has been the Executive Director, Railway Board (Ministry of Railways), Government of India, Deputy Financial Adviser and Chief Accounts Officer, Western Railways. Dr. Sharma has been a member of Task Force for numerous government initiatives, including the one constituted by Cabinet Secretary on ‘Revision in Norms for Public Procurement’. Here he served as Member secretary.
He was a visiting Scholar at Graduate School of Business (GSB), Stanford University. He received his training in Financial Management on Capital Investment Appraisal and Asset Management at Manchester Business School. He shared his perspectives with management students of IIM, Bangalore through the elective Managing Public Private Partnership. He has led more than eighty management development programs and workshops for participants across nations. Many of these were conducted in association and consultation with the World Bank.
Dr. Sharma started his teaching career at Shri Ram College of Commerce, Delhi University in 1975. He earned his Ph.D. in Finance from Jamnalal Bajaj Institute of Management Studies, University of Bombay. Prior to this he completed his Masters from Delhi School of Economics (academic scholarship recipient) and L.L.B from University of Delhi.
Team Profile Sanchayan Society
Avik Kedia (Founder, Sanchayan Society)
Avik has more than 4 years of corporate experience having worked with some of the leading international audit, tax and advisory firms. During his experience working with these global consultancy firms, Avik has been involved in the audits of leading Indian corporate groups like DLF, Ranbaxy and Bharti Airtel.
Avik has been investing in the capital markets since his college days and has accumulated significant practical experience in investment concepts and theories. Avik’s interests range from tracking global markets to reading business books and sharing first-hand investing knowledge with young students. Avik is a chartered accountant and a commerce graduate from Hindu College, University of Delhi.
Avinash Singhal (Co-founder, Sanchayan Society)
Avinash has more than 5 years experience with India’s leading Navratna oil company having worked in various profiles from auditing to treasury management. Avinash enjoys tracking the latest financial events happening around the globe. He has extensive knowledge in the field of corporate finance through his dealing with banks and financial institutions on a daily basis.
He enjoys teaching the nuances of foreign exchange trading and hedging concepts to the bright young students. Avinash is a chartered accountant and a commerce graduate from Hindu College, University of Delhi.
Team Profile Sanchayan Society
Chidambara Sagar (Co-founder, Sanchayan Society)
Chidambara is a trainer for outreach programs. She planned and managed the first ever in India ‘The Dream Museum Project’, launched by the Devi Art Foundation in collaboration with Asia Art Archive, Hong Kong. For Sanskriti Foundation, she conceptualized, designed and delivered two day residential workshop for children on International Museum Day. She interacted with students of Mirambika school for Geddes Fellowship.
Chidambara has been actively working to create awareness around various social and cultural issues. She was instrumental in the organisation of SOIMA’09, a month long international training program for adults. Currently, she is working with Sagar NGO and Archaeological Survey of India as a supervisor and consultant-trainer for training art-historians, museologists and conservators. Chidambara holds a masters’ in History of Art from National Museum Institute and is a Sanskrit graduate from St. Stephens College, University of Delhi.
Nitka Mittal (Co-founder, Sanchayan Society)
Nitka Mittal has more than 3 years experience working with Mercer Consulting (World’s largest HR consulting firm working with 20,000+ clients globally). During her consulting stint, Nitka focused on the financial services industries and has worked closely with top management of more than 60 companies. She interacted with leading banks, insurance companies, broking houses and asset management companies on a day to day basis.
Nitka has extensively worked with the underprivileged sector. As a part of AID – Prayas, she is leading the ‘Library in Schools’ and ‘Women Literacy’ initiative. Prior to joining Mercer, she volunteered with Make – a – Wish Foundation in the capacity of a relationship manager and wish granter for a year. As a part of the ‘Delwara Development Project’ commissioned by National Foundation for India, she supervised the ‘Livelihood needs assessment’ survey and conceptualised a cleanliness and hygiene project plan for the village. Nitka has a graduate degree in Mathematics from St. Stephen’s College, University of Delhi.