Ms. Nawaporn Maharakkhaka, Assistant Governor Enterprise Risk Management Division The Bank of Thailand (BOT) revealed that the BOT released the results of the 2020 Thailand Financial Skills Survey, which is the eighth survey under the framework of The Organization for Economic Co-operation and Development (OECD), covering groups of Samples of all provinces across the country, totaling 11,901 households, to provide information on financial skills development of Thai people. and build good financial immunity
The 2020 Financial Skills Survey showed that Thai people improved their financial skills at 71%, higher than the previous survey of 66.2% in 2018 and above the average of the last Financial Skills Survey. The latest OECD in 2020 at 60.5%. Looking at the three components of financial skills, Thai people have improved in all areas. Financial literacy stood at 62.9%, improving in all topics. But there are still topics that can be further developed and promoted, such as calculating compound interest. investment risk diversification and the value of money over time
while the financial behavior is at 71.1% by the topic of allocation of money before use and study information from appropriate sources However, the topic of money management to avoid the problem of insufficient funds has decreased scores. In terms of financial attitude, it is at 82%, has continued to improve. especially the attitude of planning for the future in the long term It’s the topic that has evolved the most from 2018.
“Instability in income from the Covid-19 epidemic crisis should contribute to making people more aware of the importance of being prepared for future events.”
However, when considering the level of financial skills by age dimension Found that all ages have improved in all aspects. In line with the overall picture of the country, Gen Y has the best level of financial skills compared to other ages. because of their high scores on financial knowledge and behavior But there was a relatively low score on financial attitude, followed by Gen X by financial attitude. Being the highest-rated topic compared to other age groups, Gen Z had relatively low scores on financial skills. It had the lowest scores for financial behavior and attitudes across all ages, but showed significant improvement in financial skill levels compared to 2018 scores, particularly financial literacy and behavior, and Gen Baby Boomer and above had skills scores. minimal financial with lower knowledge scores than other age groups
The survey on saving attitudes and behaviors found that in 2020, the proportion of people with savings in the sample increased to 74.7% from 72% in 2018, and most people are aware of saving for emergencies. and saving for retirement which the epidemic of COVID-19 This is probably the reason why people are more aware of the need for reserves.
However, only 38% have a reserve of more than 3 months if they have to stop working suddenly. The main motivation for saving comes from having a clear goal or plan for spending money in the future, but only 19.7% allocate money to save before putting it in. to spend Therefore, it may be the reason why the savings goal is not achieved.
“Even though Thai people have an increased proportion of their savings, it is found that the buffer in case of lack of income is still quite thin. There are not enough savings for 3 months, more than 60%, of which 30% do not even know how much money they have to have. Importantly, only 17.8% or less than 1 in 5 have enough savings after retirement,” said Ms. Nawaporn.
The Bank of Thailand has suggested that savings before spending should be at the level of 40% of income, or at least in the situation of COVID-19. You should start saving 10%. If you make it a habit, you can have strong financial health. by the appropriate savings level Should be enough to use in the 3-6 months if you need a sudden lack of income By setting savings goals, calculate income and expenses, record and set aside necessary expenses.