Luxembourg takes up financial education of citizens
Ibrahim Boran, Unsplash
On Tuesday, the Luxembourg Chamber of Deputies held a debate on financial education. The interpellation was initiated by the Socialist Workers' Party MP Liz Braz. She referred to a study by the Organisation for Economic Co-operation and Development (OECD) published in 2023. The study found low levels of financial literacy among citizens of different ages in many countries. Liz Bras emphasised that finance is not just technical knowledge, but an "instrument of power" that is now held by a narrow circle. She said that knowledge of economics and money management should be available to everyone - as a basic right, not as an elite privilege.
Democratic MP André Bauler said that financial illiteracy can lead to increased debt, especially because of "buy now, pay later" models. He supported the idea of early and accessible financial skills training.
David Wagner of the left-wing déi Lénk party recognised the value of educational initiatives, especially in the area of pensions and tax literacy. However, he warned of the risk of lobbying by the financial sector and suggested that the Chambre des Salariés (CSL) should be involved in the development of the programme.
Education Minister Claude Meisch and Finance Minister Gilles Roth agreed on the need to update the national strategy, which has been in place since 2015. Gilles Roth said the strategy should take into account modern realities such as fintech, cryptocurrencies, artificial intelligence, social impact investing and cyber fraud. These challenges require new approaches and a broad awareness of citizens.
In response to questions, Gilles Roth confirmed that he is studying the possibility of creating a credit registry in the country along the lines of the Belgian Central Credit Register, but stressed that the initiative has not yet been included in the coalition agreement - and its implementation will probably be left to the next government.
He also emphasised the important role of the Commission de Surveillance du Secteur Financier (CSSF), which can take on the coordination of education and support for citizens to protect themselves from financial risks.
