India's Vision 2050: Bridging the Financial Literacy Gap

India's Vision 2050 is an ambitious strategy to become a developed nation. Focusing on AI-driven growth, it stresses the importance of education and financial literacy. With only 27% financial literacy, overcoming this deficiency is crucial for economic stability and achieving Vision 2050's transformative goals.

India's Vision 2050 outlines a transformative path to become a developed nation by the mid-century, aiming for a per-capita GDP of $16,000 (PPP). The strategy emphasizes AI innovation, digital infrastructure enhancement, and pioneering fintech solutions.

Key to this vision is socioeconomic progress, focusing on improving education, healthcare, and financial inclusion. However, a glaring challenge remains: India's financial literacy rate lags at 27% compared to a global benchmark of about 42%. This gap is more pronounced among women and rural populations, exacerbating economic disparities.

The financial literacy gap poses risks as fintech and digital platforms broaden financial access but also increase vulnerability to fraud. Despite a rise in digital fraud cases, targeted awareness initiatives and stronger law enforcement have shown some success in reducing financial losses. Enhancing financial literacy is therefore essential for economic empowerment and stability.

(With inputs from agencies.)