Enhancing financial literacy among Pantawid Pamilyang Pilipino Program beneficiaries
Merlynda Munar
Abstract
This study aimed to evaluate the effectiveness of financial literacy education among the Pantawid Pamilyang Pilipino Program (4Ps) household grantees in Baguio City in the Philippines. The focus was on enhancing financial knowledge and skills, particularly in financial planning, budgeting, and savings. Using a descriptive quantitative methodology, a questionnaire was administered to 297 respondents selected through stratified random sampling. The study assessed the financial literacy improvement relative to demographic factors such as gender and educational attainment. Results indicated that financial literacy sessions had a significant positive impact, with respondents demonstrating a "great extent" of improvement in financial planning, budgeting, and savings. Statistical analysis revealed no significant differences based on gender, while educational attainment showed significant differences, with higher education levels correlating with better financial literacy. The findings suggest that while financial literacy programs are broadly effective, tailoring these sessions to accommodate varying educational backgrounds could enhance outcomes further. Future recommendations include developing targeted financial education strategies to address the needs of those with lower educational attainment and expanding the program to reach a larger demographic. This approach could foster greater financial stability and empowerment among low-income families, ultimately contributing to poverty reduction efforts.
Keywords
financial literacy, 4Ps household grantees, financial planning, budgeting, savings
Author information & Contribution
Merlynda Munar. Doctor in Business Administration. Administrative Officer IV at Department of Social Welfare & Development - Cordillera Administrative Region and Postgraduate Researcher at University of Baguio, Graduate School. Email: mvimunar@gmail.com
Disclosure statement
No potential conflict of interest was reported by the author(s).
Funding
This work was not supported by any funding.
Institutional Review Board Statement
AI Declaration
Notes
Acknowledgement
References
Agnew, S., Maras, P., & Moon, A. (2018). Gender differences in financial socialization in the home—An exploratory study. International Journal of Consumer Studies, 42, 275-282. https://doi.org/10.1111/IJCS.12415
Aleksiak, D. (2020). The presentations of poverty in global education. 21st Century Pedagogy, 4(1), 14–22. https://doi.org/10.2478/ped21-2020-0003
Ansari, Y., Albarrak, M. S., Sherfudeen, N., & Aman, A. (2023). Examining the relationship between financial literacy and demographic factors and the overconfidence of Saudi investors. Finance Research Letters, 52, 103582. https://doi.org/10.1016/j.frl.2022.103582
Askar, M.W., Ouattara, B., & Zhang, Y.F. (2020). Financial literacy and poverty reduction: The case of Indonesia. Asian Development Bank Institute, 1097. https://www.adb.org/sites/default/files/publication/574816/adbi-wp1097.pdf
Bangco, R. A., Dimatulac, P. A., Sanchez, J. F., & Cabauatan, R. (2022). Determinants of financial literacy in the MIMAROPA region. Journal of Economics, Finance and Accounting Studies, 4(1), 232–243. https://doi.org/10.32996/jefas.2022.4.1.15
CFI Education Inc. (2023). Personal finance. https://corporatefinanceinstitute.com/resources/wealth-management/personal-finance/
Council of Economic Advisers. (2018). The economic impact of welfare programs in the United States. U.S. Government Publishing Office. https://www.whitehouse.gov/cea/2018-welfare-programs
De Los Reyes, B. X. E., Azarias, R., Mamaclay, K. E., Carranza, C. A., Rayray, A., Directo, F. A., Jr, & Orpilla, J. G. (2022). Rang-Ay babaen ti 4Ps: Its impact to selected Ilokano beneficiaries in Santiago, Ilocos Sur, Philippines. American Journal of Interdisciplinary Research and Innovation, 1(1), 44–49. https://doi.org/10.54536/ajiri.v1i1.451
Department of Social Welfare and Development (2021). DSWD, USAID launch 4Ps financial literacy manual. https://www.dswd.gov.ph/dswd-usaid-launch-4ps-financial-literacy-manual/
Department of Social Welfare and Development (2019). Republic Act 11310: Implementing rules and regulations of Pantawid Pamilyang Pilipino Program (4Ps). https://pantawid.dswd.gov.ph/wp-content/uploads/2021/02/12092020_4Ps_IRR.pdf
Department of Social Welfare and Development (2019). DSWD, USAID E-PESO seal partnership towards financial inclusion of 4Ps beneficiaries. https://pantawid.dswd.gov.ph/2019/11/dswd-usaid-e-peso-seals-partnership-towards-financial-inclusion-of-4Ps-beneficiaries/
Department of Social Welfare and Development (2018). Memorandum Circular 22: Enhanced guidelines on the implementation of the family development sessions of the Pantawid Pamilyang Pilipino Program. https://www.dswd.gov.ph/issuances/MCs/MC_2018-022.pdf
Dewi, V. I. (2022). How do demographic and socioeconomic factors affect financial literacy and its variables? Cogent Business & Management, 9(1). https://doi.org/10.1080/23311975.2022.2077640
Dizon, J.T., Albor, R.G., Serrano, E.P, & Reyes, K.M. (2017). Assessment of family development sessions of the Pantawid Pamilyang Pilipino Program: Assessment of FDS Modules. https://pantawid.dswd.gov.ph/wp-content/uploads/2018/08/FDS-Component-1.pdf
Eleoran, A. T., Castillon, M. C., Manlosa, R. M. D., Bahala, D. T. M. C., & Abiol, M. J. D. (2023). The relationship and influence between 4P’s subsidy and financial literacy through universal basic income among the beneficiaries of selected barangays in Iligan City. International Journal of Multidisciplinary Applied Business and Education Research, 4(10), 3647–3652. https://doi.org/10.11594/ijmaber.04.10.19
Firli, A. (2017). Factors that influence financial literacy: A conceptual framework. IOP Conf. Ser.: Mater. Sci. Eng., 180 012254. https://doi.org/10.1088/1757-899X/180/1/012254
Gan, X., Zhou, Y., & Zhou, Z. (2019). More education, less financial illiteracy: evidence from China. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.3490372
Gudjonsson, S., Minelgaite, I., Kristinsson, K., & Pálsdóttir, S. (2022). Financial literacy and gender differences: women choose people while men choose things? Administrative Sciences, 12(4), 179. https://doi.org/10.3390/admsci12040179
Julius, M. K., & Bawane, J. (2011). Education and poverty; chicken egg relationship and concerns. Learning Community-An International Journal of Educational and Social Development, 2(2), 291–306.
Kadoya, Y. & Khan, M.S.R (2020). Financial literacy in Japan: New evidence using financial knowledge, behavior, and attitude. Sustainability, 12(9),363. https://doi.org/10.3390/su12093683
Kelly, G. (2019). Disability, cash transfers and family practices in South Africa. Critical Social Policy, 39(4), 541–559. https://doi.org/10.1177/0261018319867593
Lopus, J.S., Amidjono, D.S., & Grimes. P.W. (2019). Improving financial literacy of the poor and vulnerable in Indonesia: An empirical analysis. International Review of Economics Education, 32. https://doi.org/10.1016/j.iree.2019.100168
Lusardi, A. (2019). Financial literacy and the need for financial education: evidence and implications. Swiss Journal of Economics and Statistics, 155, 1. 155, 1 (2019). https://doi.org/10.1186/s41937-019-0027-5
Manuere, F. & Phiri, N. (2018). A literature review of women empowerment and development in Zimbabwe: A look at new insights and perspectives. Macrothink Institute, 8, 4. https://doi.org/10.5296/jpag.v8i4.13818
Ndou, A. (2023). The relationship between demographic factors and financial literacy. International Journal of Research in Business and Social Science, 12(1), 155–164. https://doi.org/10.20525/ijrbs.v12i1.2298
Ratcliffe, C., Burke, J., Gardner, J. & Knoll, M. (2020). Evidence-based strategies to build emergency savings. Consumer Financial Protection Bureau.
Okamoto, S. & Komamura, K. (2021). Age, gender, and financial literacy in Japan. Plos One, 16, 11. https://doi.org/10.1371/journal.pone.0259393
Once, F.P., Gabon, V.A., Cruz, J.P., Gabon, R.D., & Mustacisa-Lacaba, M. (2019). Financial literacy and satisfaction of beneficiaries to Pantawid Pamilyang Pilipino Program (4Ps): Evidence from the poorest countryside areas of the Philippines. The Countryside Development Research Journal, 7(1), 11-16.
Orbeta, A.J., & Paqueo, V.B. (2016). Pantawid Pamilya Pilipino Program: Boon or bane? PIDS Discussion Paper Series.
Organization for Economic Co-operation and Development. (2018). Social safety nets and social security programs in developing countries: Enhancing food and livelihood security. OECD Publishing. https://www.oecd.org/social-safety-nets-2018
Plaza, N. a. E. C. (2023). Exploring the financial literacy of 4Ps beneficiaries. International Journal of Advanced Research in Science Communication and Technology, 663–671. https://doi.org/10.48175/ijarsct-12192
Radianto, W. E., Lianoto, Y., Efrata, T. C., & Dewi, L. (2020). The role of financial literacy, gender, education, and ethnicity towards investment decisions. KnE Social Sciences. https://doi.org/10.18502/kss.v4i3.6401
Rahman, M., Isa, C.R, Masud, M.M, Sarker, M. & Chodhury, N. (2021). The role of financial behaviour, financial literacy, and financial stress in explaining the financial well-being of B40 group in Malaysia. Future Business Journal, 52. https://doi.org/10.1186/s43093-021-00099-0
Sahabuddin, Z. A., & Hadianto, B. (2023). Gender, financial literacy, and financial behavior among students. Humanities and Social Sciences Letters, 11(2), 203–212. https://doi.org/10.18488/73.v11i2.3367
Sehrawat, K., Vij, M. & Talan, G. (2021). Understanding the path toward financial well-being: Evidence from India. Frontiers in Psychology. https://doi.org/10.3389/fpsyg.2021.638408
Seth, S., & Tutor, M.V. (2019). Evaluation of anti-poverty programs’ impact on joint disadvantages: Insights from the Philippine experience. Oxford Poverty & Human Development Initiative (OPHI).
Shi, Z., & Qamruzzaman, M. (2022). Re-visiting the role of education on poverty through the channel of financial Inclusion: Evidence from lower-income and lower-middle-income countries. Frontiers in Environmental Science, 10. https://doi.org/10.3389/fenvs.2022.873652
Simpson, R. (24 November 2021). How improving financial literacy helps reduce poverty. The Borgen Project. https://borgenproject.org/improving-financial-literacy/
The World Bank (2018). Making growth work for the poor: A poverty assessment for the Philippines. https://documents1.worldbank.org/
Tinghög, G., Ahmed, A., Barrafrem, K., Lind, T., Skagerlund, K., & Västfjäll, D. (2021). Gender differences in financial literacy: The role of stereotype threat. Journal of Economic Behavior & Organization, 192, 405–416. https://doi.org/10.1016/j.jebo.2021.10.015
Twumasi, M.A., Jiang, Y., Ding,Z., Wang, P. & Abgenyo, W. (2022). The mediating role of access to financial services in the effect of financial literacy on household income: The case of rural Ghana. SAGE Open, 12(1). https://doi.org/10.1177/21582440221079921
United Nations Development Programme (2022). What are the sustainable goals? https://www.undp.org/sustainable-development-goals?
Watanapongvanich, S., Khan, M. S. R., Putthinun, P., Ono, S., & Kadoya, Y. (2021). Financial literacy, financial education, and smoking behavior: evidence from Japan. Frontiers in Public Health, 8. https://doi.org/10.3389/fpubh.2020.612976
Xiao, J. J., & O’Neill, B. (2018). Mental accounting and behavioural hierarchy: Understanding consumer budgeting behaviour. International Journal of Consumer Studies, 42(4), 448–459. https://doi.org/10.1111/ijcs.12445
Zhi, K., Chen, Y., & Huang, J. (2020). Children’s self-control and family savings for education: An empirical examination from China. Children and Youth Services Review, 119, 105575. https://doi.org/10.1016/j.childyouth.2020.105575
Zhou, Y., Yang, M., & Gan, X. (2023). Education and financial literacy: Evidence from compulsory schooling law in China. The Quarterly Review of Economics and Finance, 89, 335–346. https://doi.org/10.1016/j.qref.2022.09.006
Cite this article:
Munar, M. (2024). Enhancing financial literacy among Pantawid Pamilyang Pilipino Program beneficiaries. International Journal of Academe and Industry Research, 5(3), 98-124. https://doi.org/10.53378/ijair.353098
License:
This work is licensed under a Creative Commons Attribution (CC BY 4.0) International License.
Find this article in:
Most read articles
- Social media usage and the academic performance of Filipino junior high school students
- Exploring the factors influencing commuters’ satisfaction and the use of public utility buses in Quezon City, Philippines
- A narrative exploration of romantic experiences and ideal relationship standards among Filipino Gen Z
- Students’ exposure to social media and their radical involvement on the societal issues in the Philippines
- ChatGPT integration significantly boosts personalized learning outcomes: A Philippine study
- Tiktok made me book it: The impact of Tiktok on tourism destination selection of generation Z and millennials in Manila
- Senior high school students’ awareness and literacy on computer software applications
- Self-perception of ABM students towards their academic, social and emotional college preparedness
- Enhancing financial literacy among Pantawid Pamilyang Pilipino Program beneficiaries
- Emotional intelligence and leadership efficacy of university student leaders