Financial education teaches people money management practices related to earning, spending, saving, borrowing, inflation, insurance protection and investing. The educational system in developing economies often fails in offering appropriate Financial education. 

Financial education allows to improve the understanding, use and exploitation of financial services, while it prevents the damages of an inadequate use of the same (i.e. the over indebtedness). Proper understanding of money and financial services can also help low-income people to better face frequent liquidity shortages and improve their decision-making process.