In our homes, we proudly teach our children to study hard, respect elders, and follow tradition. But there’s one skill we often leave to chance – how to manage money.
In an economy that’s recovering but fragile, and a society where smartphones are in nearly every pocket, it’s dangerous to ignore this gap. Financial literacy isn’t a luxury anymore, it’s survival.
Hidden crisis: Low financial literacy
Studies from the Central Bank and local think tanks confirm a troubling truth: Sri Lanka’s financial literacy rate is among the lowest in South Asia. Most adults know how to open a bank account. Very few understand budgeting, loans, compound interest, or long-term investing.
Now drop today’s children into a world of QR codes, instant loan apps, and one-click payments. A 17-year-old can borrow Rs. 10,000 with no job, no ID verification, and no idea what 24% interest actually means.
Without financial education, we’re not preparing our children we’re setting them up for debt.
Fintech isn’t the enemy
There’s good news. The same technology that enables fast borrowing also holds the key to smarter financial education.
Fintech platforms, when used correctly, can help children and teens learn:
* How to budget weekly allowances
* How interest works
* How to set savings goals
* Even how to make safe, beginner-level investments
Apps such as Greenlight (US), Gimi (EU), and several regional platforms offer child-friendly financial tools. While Sri Lanka doesn’t have widespread access to such platforms yet, the infrastructure is here: digital wallets, youth bank accounts, family budgeting apps — all ready for parents to plug into.
Bold parenting steps for a fintech future
Start money conversations early
Don’t wait until your children are old enough for their first salary. Start when they’re old enough to ask for ice cream.
Use real-life situations to explain value:
* Let them scan QR codes at the supermarket
* Show them what a digital receipt looks like
* Talk about the price of mobile data vs. the price of a treat
Money shouldn’t be a mystery.
Move from piggy banks to digital wallets
Saving Rs. 20 coins in a till is fine, but the future is digital.
Many Sri Lankan banks now offer youth-friendly savings accounts with app access. Allow your teen to manage a monthly allowance digitally.
It teaches:
* Accountability
* Real-time tracking
* Delayed gratification
It’s not spoiling them it’s training them to think financially.
Talk about loans before apps do
Loan apps are slick, tempting, and everywhere. We must be louder than their ads.
Teach your children:
* What interest really means
* Why debt can spiral quickly
* That “easy money” always comes with a catch
Try giving them a mock loan: borrow Rs. 500 from you, pay it back over two weeks — with a “penalty” if they forget. It’s a lesson they’ll never forget.
Let them make small mistakes
Did they spend their full allowance on junk food? Good.
Now help them budget next week. These controlled slip-ups teach:
* Decision-making
* Consequences
* Long-term thinking
Better to learn now with Rs. 1,000 than later with a Rs. 100,000 credit card.
The big picture: Raising a smarter generation
Sri Lanka’s economy is rebuilding, but families are still vulnerable. While central banks and governments create policies, the true financial revolution must start at home.
Your child doesn’t need to become a stock market genius. But they do need to know:
* How to save before they spend
* How to invest before they borrow
* How to say no before they swipe
Final word: teach to protect
Let’s stop treating money as a taboo. Talk about it. Teach it. Use tech to make it fun.
Fintech isn’t going away. But with the right guidance, it can be our children’s most powerful ally not their biggest trap.
So, next time your child levels up in Candy Crush, ask them:
Can you level up your savings too?
The writer is Head of Marketing at CrossBorder Payments (Pvt) Limitedr
