<abstract xmlns="http://www.w3.org/1999/xhtml">

<p>Financial literacy or financial capability is widely agreed as being funda mental for financial wellbeing (<xref ref-type="bibr" rid="j_fprj-2015-0003_ref_019">Clitheroe 2004</xref>; <xref ref-type="bibr" rid="j_fprj-2015-0003_ref_051">Worthington 2008</xref>). This is particularly relevant in 21st century Australia, where the government’s policy of self-funded retirement is a critically important issue. Previous research undertaken by the Australian and New Zealand Banking Group (ANZ) in Australia, suggests when it comes to financial matters, a large proportion of the population have insufficient levels of the financial knowledge and skills needed to manage their finances into the future. Australia’s Indigenous population has been identified in the ANZ surveys as one of the groups, most at risk. Whilst education programs have been put in place to address these findings, subsequent studies in relation to Australians Indigenous population continues to demonstrate the poorest levels of financial literacy, with little to no identifiable improvement in measured skills over successive studies (<xref ref-type="bibr" rid="j_fprj-2015-0003_ref_008">ANZ 2003</xref>; <xref ref-type="bibr" rid="j_fprj-2015-0003_ref_009">2005</xref>; <xref ref-type="bibr" rid="j_fprj-2015-0003_ref_010">2008</xref>; <xref ref-type="bibr" rid="j_fprj-2015-0003_ref_011">2011</xref> and <xref ref-type="bibr" rid="j_fprj-2015-0003_ref_012">2014</xref>).</p>
<p>Generally, traditional Indigenous culture is dominated by family and tribe rather than personal wealth gratification; in particular these cultural values relating to money are in direct contrast to western societal values. Our research paper, the first in a series, raises two questions. Firstly is the conflict between western and Indigenous culture an overlooked factor and might go some way to explaining the poor financial literacy levels among Australia’s Indigenous population. Secondly, this paper raises questions that were highlighted in the existing literature as to the content and design of currently offered educational programs that are targeted at Indigenous Australians.</p>
</abstract>

Financial literacy or financial capability is widely agreed as being funda mental for financial wellbeing (Clitheroe 2004; Worthington 2008). This is particularly relevant in 21st century Australia, where the government’s policy of self-funded retirement is a critically important issue. Previous research undertaken by the Australian and New Zealand Banking Group (ANZ) in Australia, suggests when it comes to financial matters, a large proportion of the population have insufficient levels of the financial knowledge and skills needed to manage their finances into the future. Australia’s Indigenous population has been identified in the ANZ surveys as one of the groups, most at risk. Whilst education programs have been put in place to address these findings, subsequent studies in relation to Australians Indigenous population continues to demonstrate the poorest levels of financial literacy, with little to no identifiable improvement in measured skills over successive studies (ANZ 2003; 2005; 2008; 2011 and 2014).
Generally, traditional Indigenous culture is dominated by family and tribe rather than personal wealth gratification; in particular these cultural values relating to money are in direct contrast to western societal values. Our research paper, the first in a series, raises two questions. Firstly is the conflict between western and Indigenous culture an overlooked factor and might go some way to explaining the poor financial literacy levels among Australia’s Indigenous population. Secondly, this paper raises questions that were highlighted in the existing literature as to the content and design of currently offered educational programs that are targeted at Indigenous Australians.

The Conflict Between Financial Decision Making and Indigenous Australian Culture

Financial Planning Research Journal

This work is licensed under the Creative Commons Attribution 4.0 International License.

{"article-title":"The Conflict Between Financial Decision Making and Indigenous Australian Culture"}

Financial literacy or financial capability is widely agreed as being funda mental for financial wellbeing (Clitheroe 2004; Worthington 2008). This is...

The Conflict Between Financial Decision Making and Indigenous Australian Culture

Published Online: Mar 17, 2024

Page range: 33 - 54

Received: Aug 07, 2015

Accepted: Oct 28, 2015

DOI: https://doi.org/10.2478/fprj-2015-0003

© 2015 Suzanne Wagland et al., published by Sciendo

This work is licensed under the Creative Commons Attribution 4.0 International License.