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FINANCIAL EDUCATION FOR VSLA MEMBERS

PROGRAM DESIGN & DELIVERY BINDER

A GUIDE FOR USING DOCUMENTS DEVELOPED FOR ACCESS AFRICA

MARCH 2013

CARE Access AfricaCARE International’s signature program, Access Africa, is a bold, 10-year investment whose returns will be dramatic: 150 million people in 39 sub-Saharan African countries will have the means to break the vicious cycle of poverty, and transform it into a virtuous cycle of rising income, improved health, better education and greater participation in their communities and nations. Over the next decade, the Access Africa program will reach 30 million people – 70 percent of them women – with a suite of basic financial services. To achieve this, CARE is establishing partnerships with governments, microfinance institutes, telecom providers and financial institutions. CARE itself has engaged in economic development work since 1980, and currently manages 74 projects in 66 countries, reaching more than 8.8 million people, mostly women. CARE’s interventions span from improving market access to microfinance to business development services.

This financial education binder was developed as a part of the CARE Access Africa initiative to link VSLAs with financial institutions to access appropriate savings and credit products.

In 2010 and 2011, staff of CARE Rwanda and CARE Malawi contributed to the development of these modules, based on the work of Microfinance Opportunities. Following the pilot of these modules, Sophie Chitedze of Access Africa led a process to update and formalize these modules for use across CARE’s programs. Ms. Chitedze continues to lead the rollout of these modules and will continue engaging CO teams in community of practice meetings to keep abreast with progress and lessons from the field.

In January 2013, Access Africa held a learning meeting in Kigali, Rwanda, in which representatives of CARE International and their partner organizations from Burundi, Ethiopia, Kenya, Rwanda, and Uganda gave feedback and contributed content to this module, intended for adaptation and use across CARE programs. The efforts of these participants, listed below, were essential to this updated version.

This guide is based on the original work by Microfinance Opportunities and the references listed below, as well as on the expertise and input from representatives of CARE Burundi, Ethiopia, Kenya, Malawi, Rwanda and Uganda and their partner organizations:

Bernard NiyomugaboEverline ObieroGeoffrey KumwendaGlycerie Niyibizi

Jessica MassieJean Baptiste HategekimanaMelch NatukundaPrudent Michel Gatoto

Sharon KensitaSophie ChitedzeThadée CivuzeZegeye Bante

References:

Cohen, Monique, Candace Nelson and Kathleen Stack. (2005) The Rationale for Financial Education. Washington, DC: Microfinance Opportunities.

Massie, Jessica, Julie Lee and Bailey Butzberger. (2010) Financial Education for Equity Bank. Washington, DC: Microfinance Opportunities.

Sebstad, Jennefer, Monique Cohen and Kathleen Stack. (2005) Market Research for Financial Education. Washington, DC: Microfinance Opportunities.

Sebstad, Jennefer, Monique Cohen and Kathleen Stack. (2005) Outcomes Guidance for Financial Education. Washington, DC: Microfinance Opportunities.

Stack, Kathleen. (2005) Adult Learning Principles and Curriculum Design for Financial Education. Washington, DC: Microfinance Opportunities.

Stack, Kathleen. (2005) Financial Education Adaptation Guidance. Washington, DC: Microfinance Opportunities.

TABLE OF CONTENTS

The objective of this guide is to provide an overview and explanation of the following folders in the CARE Access Africa Financial Education Binder:

1. Overall Work Plan.............................................................................................1

2. Monitoring and Evaluation...............................................................................3

3. Curriculum Adaptation and Modification.........................................................9

4. Trainer’s Guide...............................................................................................13

5. Alternative Delivery Mechanisms...................................................................17

6. Training of Trainers.........................................................................................19

7. Policy and Regulatory Guidance.....................................................................23

8. Other Resources.............................................................................................25

Resource Folders with Examples...........................................................SEE BINDER

Definitions of Key Terms in This Binder1

Financial Education: “[Any educational program or activity that] builds the knowledge, skills, attitudes and behaviors that enable people to make informed judgments and effective decisions regarding the use and management of money.”

Financial Literacy: “The ability to make informed judgments and effective decisions regarding the use and management of money.”

Financial Capabilities: “[Financial capabilities] implies that given information and opportunities regarding financial services and resources, people have the ability to make informed financial decisions.”

1 Cohen, Monique and Sebstad, Jennefer (2008). “Financial Literacy, Financial Education, Financial Capabilities: Are They Different?” Global Financial Education Program Update: Volume 3, Issue 2. Microfinance Opportunities: Washington, DC.

I. OVERALL WORK PLAN

See Resource Folder 1: Overall Work Plan for documents used in this step.

1. Master Work Plan.xlsx

The following work plan is a sketch of the major components that are part of developing a financial education programs for CARE in your country. Full work plans to guide the planning, adaptation, roll-out, delivery and M&E of your program is found in Section 1: Work Plan in the program binder. Creating a master work plan, which can be modified and adapted as needed, is an important first step for your program.

Use the following steps to guide you in developing the work plan for your country program. (The Master Work Plan in your binder outlines each step more in-depth.)

1. Open the Excel worksheet “Master Work Plan”2. “Save As”: Save the document as a new document to be modified for your

program3. Modify and change the work plan so that it fits your program goals and needs

Table 1: Overview of Master Work PlanCOMPONENT TIMELINE NOTES

1. Planning 1 week Make sure all core team members are involved from the beginning of the planning process

2. Secondary Research 1 week Review, summarize, and analyze documents and existing studies

3. Needs Assessment or Baseline

2 weeks – 2 months

Depending on how much information is available and the extent of the study you plan

4. Curriculum Choice and Adaptation

2-3 weeks Add time if translation is necessary

5. Training of Trainers 2-3 weeks Includes planning time, workshop, and reporting

6. Pilot Test & Roll Out Several weeks – several months

This depends upon how many groups will participate in the pilot test

7. Ongoing Monitoring and Evaluation

Before, during and after the training

Time commitment will depend on the tools and level of M&E chosen

| G u i d e : C A R E A c c e s s A f r i c a F i n a n c i a l E d u c a t i o n B i n d e r2

II. MONITORING AND EVALUATION

See Resource Folder 2: Monitoring and Evaluation for full text examples of the M&E tools suggested for use in your program, and a list of indicators to base your program on. In addition, the folder contains resources from the Financial Education Fund (FEF) and OECD that discuss M&E for financial education programs in depth.

1. CARE Indicator Lists (folder)2. World Bank Materials (folder)3. Trainer and Participant Interviews4. Observation Checklist5. Outreach Tracking Form6. Sample Pre and Post Tests (Rwanda)7. Sample Guidelines on Pre and Post Tests8. FEF M&E Toolkit (December 31 2010)9. How to Evaluate Fin Ed Programs (OECD)10. Suggested Indicators for Financial Education

TECHNICAL NOTE: Document 10 (Suggested Indicators for Financial Education) contains a list of indicators from CARE’s Banking on Change program and Access Africa program that have been updated and now include financial literacy indicators.

Discussion of Key Concepts in Financial Literacy

Financial literacy can be defined as knowledge of basic financial concepts and the skills and attitudes to translate this knowledge into improved financial behaviors. The first level of change is in knowledge, skills, and attitudes. Ideally, improvements in financial knowledge, skills, and attitudes should contribute to changes in financial behaviors, or the way someone acts or responds to a situation or event. One example of behavior change might be to move from reactive to proactive financial behavior by using a spending plan to manage money. Other examples might be to reduce wasteful expenditures, open a savings account or save more regularly.

Financial literacy, in turn, should contribute to improved financial well-being. At the client level, financial well-being can involve the achievement of a specific financial

| G u i d e : C A R E A c c e s s A f r i c a F i n a n c i a l E d u c a t i o n B i n d e r

Knowledge of financial concepts might include understanding the purpose of a budget, the elements of a savings plan, loan terms and conditions, or the differences between various types of financial institutions. Skills to translate this knowledge into behavior may involve how to track expenditures, make a spending plan, open a savings account, calculate an interest rate, or obtain information on the products and services offered by a particular financial institution.

Attitudes to support changed behavior can include motivation to work toward a financial goal, commitment to stick to a spending plan, discipline to save regularly, or confidence to walk into a bank to ask questions.

3

goal such as reaching a savings target, managing debt, or purchasing an asset. It might involve more control over finances through forward financial planning or more effective use of bank services. Financial well-being may also involve reduced financial stress or greater satisfaction—a sense of control and well-being. This relates to financial stability—a perception or expectation that finances are the same or better than before.

Figure 1: Framework for Assessing the Outcomes of Financial Education

At the institutional level, financial well-being is reflected in indicators of financial performance (portfolio growth, repayment rates, operational and financial sustainability), and profitability (return on assets and equity). These changes may take some time to occur, depending on how many clients receive financial education, their intensity of involvement in the institution, and the effectiveness of the financial education in promoting behavior change. Improved financial literacy among the poor and other un-banked groups lays the groundwork for increasing their use of financial services from formal providers. Increased interaction of poor people with financial institutions can lead to the development of products and services more responsive to their needs and opportunities.

Monitoring and Evaluation of Financial Education Programs

For the development of financial education programs, market research is often recommended prior to designing and/or adapting curricula and delivery mechanisms.2 However, CARE’s programs already include a number of monitoring and evaluation mechanisms, and other tools (i.e. World Bank materials, national scorecards and household surveys on income and expenditure) that can be leveraged in place of a time consuming and expensive research exercise.

2 For a full discussion of the use of market research for financial education, see Sebstad, Cohen & Stack. (2005) Market Research for Financial Education. Washington, DC: Microfinance Opportunities.

| G u i d e : C A R E A c c e s s A f r i c a F i n a n c i a l E d u c a t i o n B i n d e r

Quality of training

Number of learners

Characteristics of learners

OUTPUTS Financial Well-BeingOUTCOMES

Change in client

financial behaviors

that improve financial

outcomes

Financial education

Financial LiteracyOUTCOMESINPUTS

Client level: - increased savings- better debt management- effective use of bank

services - successful financial

negotiations- forward financial planning

Institutional level: - improved financial

performance - increased responsiveness to

the financial service needs of the poor

Improved financial

knowledge, skills, and attitudes

4

The tools outlined in Table 2 (on pages 7-8) are recommended for the monitoring and evaluation of CARE’s financial education programs. All country programs should harmonize tools and indicators to the extent possible so that successes and failures can be tracked and reported on a greater organizational level. Both quantitative and qualitative tools measuring different types of indicators are found in the table, so that both changes in socio-economic status and in knowledge, skills, attitudes and behaviors can be measured. (Note that not all tools will be used in all programs, and Table 2 is not an exhaustive list of possible tools.)

Establishing a monitoring and evaluation framework should be a primary activity that occurs during the planning phase of the financial education program. As CARE programs are integrative in that they combine financial education (and other types of education) with the VSL methodology, your financial education M&E should be integrated into your overall program M&E framework. Use the following steps to guide you in developing the work plan for your country program3:

1. Set the program or project objectives and targets. These will relate to expected program outputs and outcomes. In particular, they will:

Determine participants’ financial education needs, preferences, and opportunities

Define the market segments or target groups for the financial education (needs, preferences, and opportunities may differ among groups of participants)

Identify the key themes that the financial education will focus on Develop delivery methods most appropriate to different groups

2. Develop and/or choose indicators. For a list of suggested indicators from CARE Access Africa, see the Excel document “Suggested M&E Indicators for Financial Education” in Folder 3: M&E. Some indicators may not be used; others may be designed for specific programs, but those listed in the Excel sheet will provide the basis.

3. Design an M&E plan. Choose from the tools in Table 2 and/or other tools available for the program, and determine which indicators (outputs and outcomes) will be monitored by which tools. Integrate your M&E for financial education into your overall program M&E.

4. Conduct a baseline assessment. Establish the pre-program demographic and socio-economic status of your participants, as well as their knowledge, skills, attitudes and behaviors for your planned topics. In some cases, household

3 These steps are taken from the Financial Education Fund (FEF). (2010). Monitoring and Evaluation Toolkit for Financial Education Initiatives. Nairobi, Kenya: Financial Sector Deepening Trust., pp.7-8.


surveys (i.e. Financial Capability surveys, FinScope surveys and national scorecards) may be available.

5. Update program plan following baseline work. If your baseline research points out that your program’s design needs to be refined or redesigned, do so at this point.

6. Adapt and modify curriculum content and delivery mechanisms. Based on your baseline and needs assessment, choose the sessions you wish to deliver and design how and when these will be delivered. (See Folder 3: Curriculum Modification and Adaptation for tools and guidance on this step.)

7. Monitor your program on an ongoing basis for quality and outreach. Use the monitoring tools suggested below to be sure you are meeting your targets and objectives during financial education delivery. If the resources and staff are available, you may repeat some of your baseline tools in the middle of the financial education delivery as a mid-line study.

8. Evaluate your program. Following the end of your financial education delivery, use the evaluation tools suggested below to find out if your targets and objectives were met. An evaluation is more informative and useful when a proper baseline (step 1) has been done at the beginning of the program.

9. Assess the impact of your program. Three to six months following the end of your implementation phase, you may choose to assess whether any lasting outcomes have occurred and whether benefit from the program is ongoing. This is best implemented by an outside evaluator who can look at your program in an objective way.

10. Hold a learning meeting. A learning meeting is an ideal venue for bringing together key staff from simultaneous programs to share ideas and lessons learned before beginning the curriculum development process in future sites.

The objectives of a learning meeting on financial education could be as follows:

To describe and compare each country project vis-à-vis:- Objectives of each country program- Trainers of end users (i.e. village agents or field officers)- Number and type of VSLA members reached

To share and compile lessons learned and challenges faced in each program, and to propose solutions;

To share and compile successes and what has worked best (i.e. materials, activities, M&E findings, etc.);

To suggest a process for the development of financial education in future sites, and;

To choose staff to serve as master trainers or managers of future activities.


Table 2: Monitoring and Evaluation Techniques and Tools What? Who? When? Purpose

BASELINE

Qualitative member survey

National scorecard and/or household survey

All program participants

Prior to beginning all program activities

Establish current demographic and socio-economic indicators, extract existing information, and coordinate with appropriate institutions to move forward where data is not available

Help country teams in working closely with government to identify areas that CARE can contribute in achieving national financial literacy goals

FinScope Survey for your country

Country-wide Prior to beginning all program activities

Establish current uptake and usage of financial services (see above)

Financial Capability Survey: World Bank*


Prior to beginning all program activities

Establish baseline for financial knowledge, skills, attitudes and behaviors – use as a pre-test

NEEDS ASSESSMENT

Partner review tool (CARE) CARE staff Prior to beginning program activities

Assess potential partners at the local, national, regional, as well as global level

Training Needs Assessment (TNA) for Participants

Participants Prior to materials and program design and training delivery

Qualitative survey to assess level of knowledge, skills, attitudes and behaviors in planned fin. ed. content

Training Needs Assessment (TNA) for Trainers

Trainers Prior to materials and program design and Training of Trainers

Qualitative survey to assess level of knowledge, skills, attitudes and behaviors in planned content and delivery

“Mystery Shopper” or Observation

Financial institution staff

Prior to materials and program design

Checklist and notes regarding materials available and observed or actual interactions at FIs with potential for linkage

ONGOING MONITORING

Partner review tool (CARE) CARE staff During program activities

Evaluate the ongoing work of partners

Outreach Tracking Tool

Participants and trainers

During pilot; and ongoing throughout project

Quantitative data on number of participants reached, trainers, and sessions delivered; sometimes disaggregated by gender, age, etc.

Observation ChecklistTrainers During pilot; and

ongoing throughout the project

Qualitative survey (with numerical score) completed by supervisors to assess quality of training and give directed feedback

Focus Group Discussions

Sample of participants and trainers

During pilot; and after approximately ½ of FE intervention has been delivered

Qualitative semi-structured interviews to gauge changes in KSAs, behavior change, assess quality of program


Table 2 (continued): Monitoring and Evaluation Techniques and Tools What? Who? When? Purpose

EVALUATION / ENDLINE

Partner review tool (CARE)CARE staff During program

activitiesEvaluate the work of potential partners at the local, national, regional, as well as global level

Focus Group DiscussionsSample of participants and trainers

After fin. ed. intervention has been delivered

Qualitative semi-structured interviews to gauge changes in KSAs, behavior change, assess quality of program

Mini-Survey Sample of participants and trainers

After fin. ed. Intervention has been delivered

Structured interviews to gauge changes in behaviors and product uptake, based on LQAS methodology

Qualitative member survey

National scorecard and/or household survey



Evaluate changes in demographic and socio-economic indicators (established with the same tool(s) at baseline)

Financial Capability Survey: World Bank*



Evaluate changes in financial knowledge, skills, attitudes and behaviors (established with the same tool at baseline) – use as a post-test

*In a number of countries, a national financial capability study is underway or has been implemented. Before implementing a survey yourself, check to see if the survey is underway or has been completed and whether or not you can use the results for comparison.


III. CURRICULUM MODIFICATION AND ADAPTATION

See Resource Folder 3: Curriculum Modification and Adaptation for full text examples of the session choice and adaptation tools suggested for use in your program.

1. Adaptation Guidance2. FE Alignment with SPM, Linkages and VS&L Modules3. Session Selection Tool4. FGD Guides

Process for Curriculum Choice and Modification

Use the results from your baseline evaluation and your project objectives to choose the most appropriate sessions and to adapt and modify the curriculum so that it works for you. Follow the process below without making major changes to the flow and activities in the sessions (see following sections on rationale for the curriculum design process):

1. Select key learning objectives and topics following the baseline analysis2. Choose sessions that match key learning objectives and fit within time available (see

Session Selection Tool in the binder)3. Assemble program Trainer’s Guide by pulling out the appropriate sessions and

adapting the session content (see Adaptation Notes at the beginning of each session and Adaptation Guide in the binder)

4. Translate the guide into necessary languages5. Select and train trainers on content and delivery of the Trainer’s Guide6. Pilot the Trainer’s Guide with a small sample of participants and gather feedback

from trainers and participants (see FGD Guides in the binder)7. Refine the Trainer’s Guide and its translation using the participant and trainer

feedback 8. Program roll out and ongoing monitoring and evaluation

Curriculum design should be an iterative process. The same tools used for quality assurance during the pilot test can be applied after rollout and used for monitoring. Furthermore, the use of a simple pre- and post-test can be used to track changes in knowledge, skills and abilities. The financial education curriculum should be adjusted following findings from those (or similar) tools.

A Brief Note on Methodologies for Semi-literate and Illiterate Populations

The sessions in the Trainer’s Guide were designed using the adult learning principles and practices endorsed by Microfinance Opportunities and Freedom from Hunger under the


auspices of the Global Financial Education Program.4 These have been updated with lessons from the field as shared by CARE Kenya, Burundi, Ethiopia, Malawi, Rwanda and Uganda. An overview of these features (reprinted from Stack 2005 and Massie, Lee and Butzberger 2010) is provided below:

Small Groups and Pairs: One of the strongest means of engaging participants in their own learning is to provide tasks to smaller groups. Small groups are a means for generating new information, applying new knowledge and skills, and providing peer-to-peer learning and motivation. The groups can be as small as two and as large as five or six. The smaller the group, the more potential for direct engagement by the participant.

Pictures: When participants are illiterate or semi-literate – and even when they are literate – pictures are preferable to words to introduce concepts and complete activities. Stories, case studies, and pair work are often combined with pictures to help guide participants’ conversations and to remind them of important details. Alternatively, real objects can be used in place of pictures.

Stories: Stories are an ideal medium for illustrating new ideas or giving real-life examples. Stories used should illustrate different aspects of participants’ lives to bring the lessons to life. Stories can be used in multiple learning sessions to increase comprehension of new ideas. They should be told in a lively and engaging manner – not read off the page - and repeated if and when necessary. Asking participants to tell their own stories is another way to engage them and to allow them to link new concepts to their own lives.

Case Study or Situation Analysis: Examining a real-world situation using the information and tools available through education provides good practice in analyzing complex situations and determining the most appropriate response options.

Role Plays: When time is available, and if the participants enjoy working together outside of the savings group meetings, they can prepare role plays together and present them during the meetings. This can save time and increase opportunities for the practice and application of the learning.

The Four Step Approach to Curriculum Design

4 The Adult Learning Principles and Practices used by MFO and FFH were proposed as part of the methodology called Dialogue Education and the work of Jane Vella. For more information, see www.globalearning.com.


http://www.globalearning.com/

The Trainer’s Guide was designed using a Learning Cycle approach.5 The purpose of curriculum design using a learning cycle approach is to lead participants from the known to the unknown. A learning cycle approach is generally comprised of four steps. The first orients the learner and begins with what they already know. In the second step, new information is presented. The third step is guided practice, in which the learner interacts with the new information using guided exercises and activities. Finally, in the fourth step – which may occur either in the learning session or at home – the learner is challenged to apply new knowledge, skills, attitudes or behaviors to a novel situation.

A mixture of three types of four-step learning cycle approaches were used in the design of the Trainer’s Guide: Kolb’s Experiential Learning Cycle, McCarthy’s 4MAT, and Vella’s 4A Learning Cycle. These are summarized below.

Table 3: Learning Cycle Approach to Curriculum DesignAPPROACHSTEP

Experiential Learning Cycle

4MAT 4A Learning Cycle

1

Concrete Experience:A tangible, concrete exercise or activity to orient learners.

Motivation:Orients learners to the new topic, usually by building on existing knowledge.

Anchor:Prepares participants to learn new content. Activates prior learning.

2Reflective Observation:Learners reflect on the activity and describe it.

Information:Provide new information or content.

Add:Provide new information or content.

3

Abstract Conceptualization:Learners draw generally applicable conclusions.

Practice:Guided activities that allow learners to practice the new content.

Apply:Guided practice with the new content in a safe environment.

4

Active Experimentation:Learners think about the world outside the classroom and how they will use new content.

Application:Learners apply new knowledge, skills, attitudes and behaviors to novel situations. This can occur in or outside the classroom.

Away:Learning is synthesized and learners anticipate how it can be used in real life, outside of the classroom.

5 For more on Vella’s 4A Learning Cycle and Kolb’s Experiential Learning Cycle, see www.learningcycle.ca.For more on McCarthy’s 4MAT see www.aboutlearning.com. The 4MAT was previously the 4 steps above, and has more recently expanded to 8 steps.


http://www.learningcycle.ca/

http://www.aboutlearning.com/

IV. TRAINER’S GUIDE

See Resource Folder 4: Trainer’s Guide for full text examples of complete Trainer’s Guides containing all sessions. Different topics are in separate documents for ease of access in the soft-copy of the binder.

1. Cover Material2. Savings3. Borrowing (Debt Management & Loans)4. Money Management (Budgeting)5. Financial Services6. Risk Management7. Tech and Mobile Money

The topics included in the Trainer’s Guide for CARE Access Africa were chosen by representatives of CARE Burundi, Ethiopia, Kenya, Malawi, Rwanda, and Uganda during a workshop in January 2013. These sessions are meant to cover the main learning needs of VSLA members in a variety of financial education topics: Savings, Budgeting/Money Management, Credit, Financial Services, Risk Management, and Technology.

The sessions were developed using a 4-Step methodology (see Section V) and are meant to be easily deliverable to populations with low levels of literacy, use minimal resources, and are simple to adapt. They are written such that one may be delivered alone, or through many sessions chosen for a longer financial education program.

TECHNICAL NOTE: Tools for deciding when to use sessions in the VS&L methodology are found in Section 3 of the binder.

These sessions and their objectives are outlined on the following pages:


Table 4: Learning Sessions and ObjectivesTOPI

CSESSION SESSION OBJECTIVES

SAVI

NGS

1. Reasons to Save

Discuss what makes someone a good money manager Analyze the reasons people save Link the reasons to save to 3 types of savings goals

2. Goal Setting: Long- and Short-Term

Discuss setting a GROUP savings goal vs. an INDIVIDUAL goal Analyze the difference between short- and long-term goals Align goals with capacity to save

3. Setting Priorities for Your Money

Distinguish needs from wants Examine the expected and unexpected reasons to save in

participants’ own life cycles Prioritize expenses and goals for one’s own household

4. Make a Savings Plan

Discuss giving up a small expense to achieve something large Examine the expected and unexpected reasons to save in

participants’ own life cycles Prioritize expenses and goals for one’s own household

5. Where to Save? Discuss the advantages and disadvantages of different places to save

List criteria for choosing a place to save

6. Rules of Thumb for Saving

Review what has been learned so far about savings Suggest Rules of Thumb to help save better and save more Analyze a story to offer savings advice

TOPIC SESSION SESSION OBJECTIVES

BORR

OW

ING

1. Save or Borrow?

Differentiate between own money and borrowed money Discuss the 3 reasons to borrow Identify when it is a good idea to save and when to borrow

using 4 fictional examples

2. Costs of Borrowing

Link the concept of renting with the concept of borrowing – borrowing is like “renting” money

Discuss the costs associated with borrowing Calculate the cost of a loan using a story

3. Good Loans vs. Bad Loans

Distinguish between good loans and bad loans Discuss key ideas for borrowing using a story Identify good loans and bad loans using case studies

4. Avoid Over-Indebtedness

List risks of borrowing and their consequences Analyze one person’s capacity to borrow using a simple box

budget Participants consider their own capacity to borrow

5. Where to Borrow from?

Link loan cost considerations to loan conditions Examine important loan terms and conditions Analyze appropriateness of a loan product for a given purpose

6. The Rules of Thumb for Borrowing

Review what has been learned so far about borrowing Suggest Rules of Thumb to borrow wisely Determine true and false statements about borrowing


Table 4 (continued): Learning Sessions and ObjectivesTOPIC SESSION SESSION OBJECTIVES

MAN

AGIN

G M

ON

EY

1. Why Should I Budget?

Participants identify their own money personality Discuss the reasons that it is important to budget Distinguish between business and household expenses

2. A Simple Budget Participants identify their own “score” using characteristics of good money managers

Analyze a sample budget3. Stay Within Your

Budget List reasons that it is difficult to stay within a budget Identify ways to stay within a budget Identify ways to cut spending

4. Put Your Money to Productive Use

Participants consider how to put their money to productive use

Analyze one person’s capacity to borrow5. Rules of Thumb for

Money Management

Review what has been learned so far about managing money

Suggest Rules of Thumb to manage money effectively Determine true and false statements about money

management

TOPIC SESSION SESSION OBJECTIVES

USI

NG

FIN

ANCI

AL

SERV

ICES

1. FSPs are for Everyone

Correct misinformation about financial service providers (FSPs)

Identify advantages and disadvantages for each FSP

2. Consumer Rights and Responsibilities

Identify rights and responsibilities as clients of FSPs Discuss where to go, what to do, and who to talk to if

there is a problem

TOPIC SESSION & NOTES SESSION OBJECTIVES

RISK

M

ANAG

EME

NT

1. Risks and Their Mitigations

Discuss the advantages and disadvantages of reactive and protective strategies

Consider different ways of managing an emergency

2. Introduction to Insurance

Define the term insurance Review the vocabulary associated with insurance policies

TOPIC SESSION & NOTES SESSION OBJECTIVES

TECH

NO

LOGY

&

MO

BILE

MO

NEY

1. ATMs and POS Devices

Identify the advantages and disadvantages (or risks) of mobile financial services

Evaluate the potential utility of mobile financial services

2. Introduction to Mobile Financial Services

List financial services available by mobile phone Compare advantages and disadvantages of services

available by mobile phone


V. ALTERNATIVE DELIVERY MECHANISMS

See Resource Folder 5: Alternative Delivery Mechanisms for samples of alternative delivery mechanisms that have either been used in CARE programs or are public goods.

1. Kenya Financial Literacy Pictures (CARE)2. Auntie Need-a-Loan Videos (MicroFinance Transparency)3. Auntie Need-a-Loan Audio Files (MicroFinance Transparency)4. Workbook for Girls (Population Council Kenya)5. Makutano Junction Video Clip (Faulu Kenya and Mediae)6. FSDU Financial Education Campaign Posters (DFID)7. Journal for Migrant Workers (ILO)

Depending on the type of program and the budget, you may explore offering reinforcements to your financial education program using alternative delivery mechanisms. Table 5 lists alternative delivery mechanisms along with their potential to reach larger or smaller numbers of people:

Figure 1: Delivery Channels and Their Potential Outreach

Managing Alternative Delivery Channels6

When choosing to use an alternative delivery channel to deliver financial education, close management is key. Be sure that someone has been identified to manage the development, pilot test, production and ongoing oversight of the delivery channel. Use the criteria outlined below to help you choose the right delivery channel or channels for your materials.

6 Reach Global (2013 forthcoming). Integrating Financial and Non-financial Services for Youth. Dakar, Senegal: UNCDF YouthStart.


Costs: Design and delivery of the education, production of materials, training of staff, salaries and costs of staff to deliver, special facilities, equipment, materials, expertise

Outreach Goals: How many youth would you like to reach, with what amount of education?

Organizational Capacity: What capacity does your organization or partner already have? What would have to be developed?

Partnerships: Who will do what at all stages in the work plan?

Research Findings: What are the educational needs of your target population? What delivery channels would they prefer?

Timing: What schedule works for your youth cohort? For you? For your partner?


VI. TRAINING OF TRAINERS

See Resource Folder 6: Training of Trainers for the full generic TOT Module to be used in training master trainers, as well as tools to help plan and adjust your TOT.

1. Consumer Protection – Smart Campaign (for reference)2. TOT Handouts3. Access Africa Master TOT Manual4. Access Africa VA TOT Manual5. Logistic Checklist for Venue6. TOT Materials Checklist7. TOT Agenda Creation Tool8. Sample TOT Agenda9. Training Needs Assessment (TNA) for TOTs10. Sample Training Report (from CARE Rwanda)

Master Training of Trainers ManualTraining a cadre of master trainers is an important first step in the process of implementing a financial education program. The binder contains a Master Training of Trainers manual which includes sessions on methodology, content, M&E, adaptation, and curriculum modification which will help to develop and manage a program. This TOT can be used and adapted as needed. It focuses on all areas of the financial education binder.

TECHNICAL NOTE: Choosing your Master Trainers is an important step in the process of designing and implementing your financial education program. CARE has a number of staff with experience in financial education who have been trained using the Master Training of Trainers Manual who can be called upon for support at country level. Contact Access Africa to find them before getting started.

Training of Trainers (TOT) ManualMost useful to country-level programs is the Training of Trainers manual which will train field officers as well as those who will train VSL members, or end users. The purpose of a Training of Trainers (TOT) workshop is three-fold:

To develop trainers’ facilitation skills in participatory methodologies – particularly those best suited to illiterate and semi-literate individuals, such as is often the case with VSLA members;

To provide technical content in financial education topics such as saving, budgeting, investing, and using financial services;

To collect the ideas and feedback of key staff to be used in the pre-pilot revision of the financial education learning sessions.


Note that should you plan to train financial institution staff as well as partner staff to train VSLA members, you can add the sessions in the TOT Manual on consumer protection or train the staff separately.

TOT Planning Tools

Use the following tools and process to plan your TOT. Remember, this comes after you have planned and developed your Trainer’s Guide so that you can use your contextualized Trainer’s Guide and any other materials that you have developed in the training.

1. Identify your master trainers. Ideally, these trainers will have participated in a Master Training of Trainers workshop and been part of the process of adapting and modifying the trainer’s guides. It is generally helpful to have at least 2 co-master trainers so that the TOT is delivered with quality.

2. Identify the trainers who will be trained. Make a list of the criteria necessary for your trainers to be successful and to be good trainers, and use that to identify participants.

3. Modify and administer the Training Needs Analysis (TNA). A generic TNA is found in the resource folder. You can add, subtract, and translate as needed. Be sure to send the TNA enough in advance of the TOT so that you have time to compile the results and use them to make decisions about the TOT itself.

4. Do logistical planning. Decide when and where you will hold your TOT workshop and begin to plan logistics. Sample checklists for the venue and materials are found in the resource folder to guide you in logistics planning. Normally someone in your office is experienced in logistics, but the checklists can even help that person to make good decisions about materials and venue.

5. Choose your sessions and create your agenda. Depending on the time available, your budget, and the results of your TNA, choose the number of possible sessions and create your agenda. Remember, it is better to do a small amount well than to do a large amount poorly. Keep this in mind as you will certainly have to prioritize some sessions and cut out others.

6. Plan your TOT and modify your sessions. If your baseline research points out that your program’s design needs to be refined or redesigned, do so at this point.

7. Deliver your TOT. A good trainer knows that he or she will always need to adjust and make small changes during a training. Be ready with a contingency plan if anything goes wrong!

8. Write notes or a report to summarize what happened. I have included a sample TOT report from CARE Rwanda in 2011 to guide you. Your TOT report should include:

Summary: Description of the training and overview of objectives.

Participants and Trainers: List trainers and participants for future reference.


Evaluation Summary: If you do a formal evaluation, summarize the results here.

Workshop Achievements and Areas for Improvement: Here list what went well and what can be improved to guide you in future TOTs.

Next Steps: Include a summary of what will happen next. This can help to remind you of what still needs to be done in your program.

OPTIONAL Notes on Trainer: During your TOT, your participants will present sessions and receive feedback. If you take brief notes of the main things each one does well and the main things each one needs to improve, you can refer back to these notes when you visit trainers in the field and observe their work.

TECHNICAL NOTE: It is best when training trainers – even at the Master level – to use the types of methods, materials and activities that you will use when training end users in the field. This means use tools like PowerPoint as little as possible, as those items are often unavailable and not useful in the field. Being a good model of how to train well using limited materials will help to encourage quality training at all levels.


VII. POLICY AND REGULATORY ACTIVITIES

See Resource Folder 7: Policy and Regulatory Activities for case studies on lessons learned from policy and regulatory work from other CARE programs.

1. Case Study – Rwanda2. Case Study – Malawi

As of the writing of this manual (2013), many countries are in the process of developing financial education policies to encourage the development of the financial capabilities of citizens. CARE programs can be key players in the advocacy for and development of such strategies, as well as advocates for development of financial capabilities and consumer education.

The binder contains two short case studies that illustrate the process CARE Rwanda and CARE Malawi have gone through to put financial education on the agenda in their respective countries. Table 5 outlines steps to take in advocating for financial education at the national level. It is based on the experiences of CARE in Rwanda and Malawi, as well as the references following the table. (Note that the steps below do not have to be followed in order, other than the first step in which you research the current landscape.)

Table 5: Steps in Advocating for Financial Education at the National LevelCOMPONENT NOTES

1. Research Find out and catalog the following:

What financial education initiatives already exist in my country? Who are the key players in financial education in my country in the public,

private, and governmental sectors? Does a financial education strategy already exist for my country?

(Alternatively, look for consumer education, consumer protection, financial inclusion, or microfinance strategies.)

Does any network, working group or association exist to promote financial education?

2. Convene Key Stakeholders

If no network, working group or association exists, use your list of key players to convene such a group, such as CARE Malawi did within their microfinance network. This group can be convened to share experiences and materials, to learn together, and to advocate at the national level. These stakeholders might include:

Educational institutions (universities, public and private schools) Financial institutions with social missions NGOs, local and international Government ministries (i.e. finance, education, central bank)


3. Contribute to the Development of a National Strategy

If there is no national strategy with a focus on financial education, you can contact those in the public and governmental sectors to advocate for the development of a strategy. Those you might contact include:

Ministry of Finance DFID (leads or funds financial education funds and access to finance in many

countries) United Nations Development Program (advocates for strategies in a number

of countries) National Microfinance Networks (as in MAMN in Malawi or AMIR in

Rwanda)

If a national strategy is in the process of being developed, advocate that CARE is represented in the working group and has the opportunity to give input to the strategy so that the needs and interests of VSLA members are included in national efforts.

4. Align with National Strategy

If a national strategy exists, check your existing projects that include financial literacy to find out how and if your activities align with national objectives.

Find out who to contact so that when the time comes to assess outcomes and develop a new strategy (i.e. after 5 years), CARE will represent the interests of your beneficiaries and advocate for financial education that targets VSLA members.

5. Participate in National Campaigns

CARE can lead or participate in nation-wide campaigns to teach large numbers of citizens or raise awareness on financial literacy issues or propose national days that focus on savings, budgeting, credit, consumer protection, etc.

In addition to leading activities on a “Financial Education Day” for your own country, some key international days you can celebrate are:

World Savings Day (usually October 31st) Global Money Week (usually in March)

6. Share Key Learnings and Materials

Some or all materials developed by CARE may be considered public good, and it may be possible to share these with key players in your country. Consider holding meetings or conferences to showcase the outcomes from your programs and distribute any materials to help those in your country deliver quality financial education to citizens.

At a CARE-wide level, communicate with Access Africa when you lead or participate in a national effort or event so that your activities can be tracked and shared with other CARE countries.

References for National Advocacy:OECD/INFE (2012). High Level Principles on National Strategies for Financial Education. Organisation for Economic Co-operation and Development (OECD): Paris, France.

CYFI (2013). National Implementation Guide for Initiatives at the National Level. Child and Youth Finance International: Amsterdam, Netherlands.


VIII. OTHER

See Resource Folder 8: Other for background materials related to design and implementation of financial education programs.

1. Client Protection Principles Overview (from the SMART Campaign)2. Transparency Training (Principle 3 from the SMART Campaign)3. J-PAL Making Finance Simple (from J-PAL)4. Child and Youth Finance International: National Implementation Guide for Initiatives

at the National Level5. OECD/INFRE High Level Principles on National Strategies for Financial Education

The “Other” folder is a reference folder to provide extra material for program managers. See the folder for the documents if you are interested in some of the ideas behind the development of this financial education binder.


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