Speech by Olli Rehn: Advancing Digital Financial Literacy in Finland

Dear Colleagues and Friends of Financial Literacy,

Good afternoon! It is a great pleasure to welcome you today to the launch of Finland’s Digital Financial Literacy Strategy.

It is always a delight to gather here at the Bank of Finland Museum, which is such an important hub for financial education. Indeed, the Financial Literacy Centre was established here at the Museum to serve as a meeting point for all actors that are working to strengthen financial literacy in Finland, and of course to spread the financial literacy message to visitors from near and far.

The Digital Financial Literacy Strategy is an important milestone for Finland and a significant step towards our common ambition of becoming the most financially literate country in the world by 2030. This ambition is rooted in Finland’s strategy for financial education, prepared in 2020 under the leadership of the Bank of Finland and in close cooperation with the Ministry of Justice and a broad network of stakeholders.

Digitalisation has transformed almost every aspect of our daily lives. The way we manage our finances has changed profoundly. Financial innovations are emerging all the time and are creating significant opportunities.

At the same time, digitalisation exposes people to new risks. The volume of information can make it difficult to distinguish reliable financial advice from misleading content, and some digital financial products and services are complex to use. Online fraud and scams are becoming increasingly sophisticated and harder to recognise.

Digital financial literacy is essential if we are to seize the opportunities of digitalisation and manage the risks effectively.

For central banks, digital financial literacy supports and underpins the objective of ensuring a well-functioning, resilient financial system. Maintaining trust in money, ensuring reliable and secure payment systems, and promoting economic resilience all depend not only on having sound institutions and effective regulation, but also a good level of financial literacy ─ and specifically digital financial literacy ─ among citizens, across society at large.

As artificial intelligence, digital assets and payment systems continue to reshape the financial landscape, citizens need the knowledge, skills and confidence to adapt successfully.

Dear Friends,

Let me now turn to Europe’s current challenges. The crisis in the Middle East continues to shape the growth and inflation outlook for the euro area. These challenges come on top of a series of other crises in recent years that have tested our resilience. The role of central banks in these volatile times is to provide stability.

The future for Europe’s economy and security will depend on whether we can collectively deliver on three fronts: defence, energy and productivity. This is what I call Europe’s Triple Test.

Europe must take greater responsibility for its own defence. We must make sure that higher spending translates efficiently into real capabilities for defending Europe together.

Secondly, Europe needs a broader range of non-fossil energy sources, suppliers and technologies. This has become even more evident with the current energy crisis. Policymakers should quickly take the necessary steps to decrease dependence on fossil fuels and not wait for a return to the old normal. The green transition is not only about climate but is fundamentally about Europe’s energy security and economic resilience.

Thirdly, Europe must boost its productivity growth and economic competitiveness. This requires investment in human capital.

Europe has top universities, skilled workers and a history of academic freedom. What it needs now is investment in education to strengthen the accumulation of human capital. Human capital is the foundation of long-term growth ─ all innovations and new ideas have been developed by us humans, and this, I believe, will still largely be the case in the future, even with input from AI.

By pursuing these interconnected priorities with a long-term vision and sound policy frameworks, Europe can turn today’s challenges into tomorrow’s economic opportunities and secure a prosperous future.

In Finland, we have strong foundations on which to build and shape our future wellbeing: Finns trust institutions; we are among the most digitally connected societies in the world; we have an active financial education ecosystem; and Finns have relatively high levels of digital financial literacy, as shown in the 2023 OECD/INFE survey.

These strengths have already given rise to concrete achievements. Finland has built an advanced digital payment environment, and financial education is increasingly integrated into schools and lifelong learning.

But, in a changing digital environment, knowledge and skills must be continuously updated, and people’s trust and confidence in the systems must be maintained. This is why a strategy focused specifically on digital financial literacy is needed.

The strategy launched today is grounded in extensive evidence. New data on digital financial literacy provide valuable insights into both our strengths and our vulnerabilities. These results will be presented later today by the OECD/INFE.

The vision is simple yet ambitious and is easily remembered: Finns will have the world’s best digital financial literacy by 2030. Achieving this will require considerable effort and cooperation from all involved across society.

I would like to thank Finland’s National Legal Services Authority for its leadership in all of this, as well as the European Commission and the OECD/INFE for their excellent input, and all the stakeholders, researchers and experts who have contributed to the strategy.

Dear Friends,

Finland’s Digital Financial Literacy Strategy gives us a shared direction and a framework. Now we must move from strategy to implementation.

By combining our expertise, resources and commitment, we can help everyone in Finland navigate the digital financial world safely and confidently.

Thank you very much for your attention. I wish you all an inspiring and productive afternoon.