Financial Education

Community Programmes

Across the region, Citi Asia Pacific supports community programmes to meet the personal financial education needs of low-income and disadvantaged groups. These cover topics such as basic financial services, saving, spending wisely, managing credit and debt responsibly, financial planning and budgeting, asset building, and investing.

Our youth and adult financial education programmes are primarily funded by Citi Foundation grants given to nonprofit organisations.

In addition, hundreds of Citi Asia Pacific employees volunteer their time and expertise to develop financial education materials, deliver training modules, provide teaching assistance, and monitor the programmes.

Consumer Education

Through our business activities and using business funding, we also give priority to providing objective information that helps both our clients and the general public make more informed financial decisions. Regional examples include:

‘Fin-Q’ (Financial Quotient) surveys that regularly gauge personal financial knowledge levels and habits in 11 Asia Pacific markets

Interactive educational websites called ‘Use Credit Wisely’ that have been adapted for nine Asia Pacific markets, including Tagalog, Bahasa Malaysia, Korean, Thai and Chinese versions

In 2008, Citi and the Citi Foundation gave over US$5.3 million for 76 financial education initiatives in Asia Pacific, supported by more than 700 Citi volunteers

Citi-FT Financial Education Summit 2008

The Citi-FT Financial Education Summit is Citi Asia Pacific’s signature financial education programme. Since it was first held in 2004, it has become one of the world’s leading forums to promote financial literacy as a critical life skill and to share best practices in financial education.

Following the success of the previous Summits in Hong Kong, Malaysia, South Korea and India, the fifth Citi-FT Financial Education Summit was held in Beijing, China in November 2008.

The Beijing Summit convened 220 representatives from the private, government, academic and non-profit sectors who came from 25 countries and territories, making it China’s largest-ever international financial education event. With the theme of ‘Reducing Financial Vulnerability: Innovation and Impact’, participants agreed on the widespread need for more financial education, especially to help vulnerable groups during volatile economic times. Several speakers
also highlighted the increased urgency to tackle “a global financial illiteracy epidemic”.

In addition to hearing from distinguished keynote speakers,
the two-day conference gave delegates the chance to learn about:

Practical examples of financial literacy initiatives targeting youth, marginalised communities, mainstream consumers, and investors

Madame Wu Xiaoling, Vice Chairwoman, Financial and Economics Affairs Committee, National People’s Congress and Chairwoman, China Foundation for the Development of Financial Education gave the special address at the gala dinner.

Some of the most innovative and progressive financial education programmes being implemented around the world

Methodologies and challenges related to measurement and impact assessment in financial education and other life skills education fields

The Citi-FT Financial Education Summit 2008 was held in partnership with the Pearson Foundation and Financial Times, with core funding from the Citi Foundation.

Other sponsors included the China Foundation for the Development of Financial Education, Clifford Chance, GTZ, and the International Finance Corporation (IFC).

More information on all the Summits – including how to participate in the next Summit in Singapore, December 3-4, 2009 – can be found at www.FinancialEducationSummit.org

Australian Retirement Index

Since 2005, Citi Australia has produced an annual Citibank Retirement Index to help the general public better understand how the financial choices and planning that they make leading up to retirement can affect their long-term financial well-being and quality
of life.

The research is conducted nationally among approximately 400 semi- or fully-retired Australians aged 55 years and over.

The survey asks a broad range of questions relating
to savings, investment, planning and also produces
a score that indicates the level of ‘confidence’ as to whether savings and investments will be sufficient
to last, as well as maintain an adequate standard
of living.

These were some of the topline findings of the 2008 Citibank Retirement Index:

The Citibank Retirement Index, an annual body of research into the financial lives of Australian retirees aged 55 years or older, highlights how financial choices and planning leading up to retirement can affect long-term financial well-being and quality of life.

Confidence levels have declined to 75%

40% are worried about having enough money/investments

40% are concerned about relying on an age pension

44% of women are concerned about their money lasting the distance, compared to 35% of men

Although the findings vary from year to year, the overwhelming take-out from the research is that forward planning and financial acumen developed through financial education in the years leading up to retirement are the best ways to ensure a comfortable and secure lifestyle in the post-work years.