A few weeks ago, I attended my son’s school fair, a cheerful annual event with several stalls. It was heartwarming to see and even nostalgic. Every stall was cash-only, the old-school way of payment. There were no QR codes, no UPI or any other digital payments. A cash-only system felt like a step into the past. Watching parents fumble for change made me realize how disconnected our school activities are from the world that our children are growing up in.

In a country where even the neighborhood small stores proudly display a Scan & Pay sticker, the absence of digital payment options at the stalls felt strangely outdated. So, at my son’s stall, I made sure that they had a QR code. And here’s what happened: Parents who ran out of cash effortlessly paid through UPI. Transactions were smooth and thus sales increased. And my son’s stall ended up making one of the best sales. It was not a business hack. It was the basic financial literacy something the school system had never thought to teach. And that is precisely the problem.

The Gap Between What We Teach and What Kids Need

In Indian schools today, students learn accounts and yes, they are useful. But are they relevant to everyday life in 2025? Not even close. Knowing how to solve a balance sheet is not the same as understanding how a credit card works, how to build a savings habit or how digital payments operate. We are preparing children for the world of paper cheques, when the actual world has already moved to instant UPI, digital wallets, online investing and financial autonomy.

If there was a subject on financial literacy, all the other stalls would have had QR code payments as well. This is not merely about making money at a school fair. It is teaching that financial literacy is not grown-up stuff anymore. It has become the basic knowledge of survival.

Financial Literacy Starts at Home

Learning starts at home, but the schools need to catch up. At home, I let my kids handle their small bank accounts. They get minor allowances, and they are allowed to make a few purchases each month. I track what they spend not to police them, but to help them understand patterns like where does the money go, what is unnecessary spending, what does saving feel like or what happens when you run out before the next month? This small exercise does more for their financial maturity than any textbook chapter ever has. It gives them freedom and boosts their confidence. And most importantly, it gives them familiarity with the tools and systems that define 2025.

If children can understand algebra, Shakespeare, trigonometry and the digestive system, then they are certainly capable of understanding the basics of money. But the formal education system has not realized that yet.

Why Financial Literacy Must Be Part of India’s Core Curriculum

India is one of the fastest-growing digital economies in the world. UPI has transformed everyday transactions and made financial participation more accessible than ever. Yet we continue to produce generations of adults who: enter the workforce without knowing how to budget, fall into debt traps, get scammed because they do not understand digital safety, invest blindly without understanding risk, struggle to manage credit cards, loans and savings and make major life decisions without basic financial grounding. This is not a coincidence but the result of a curriculum that prioritizes theoretical knowledge over real-world skill sets. Financial literacy is not just about making money. It’s about building responsibility, preparing children for independent living, helping them navigate a fast-changing digital world without fear, confusion or vulnerability.

Kids are naturally innovative, curious and responsive to everything around them. It is the system around them that remains stuck in another era. If we can teach students accounts, why cannot we teach them how modern finance works?

What Should Financial Literacy Look Like in Indian Schools?

A modern financial literacy curriculum should go far beyond income, expenditure, assets and liabilities. It must prepare students for real financial decision-making. Here’s what should be included:

1. Digital Payment and Banking Basics
2. Budgeting and Personal Money Management
3. Introduction to investments
4. Digital Safety and Fraud Awareness

Why This Matters

India’s demographic power lies in its youth. But youth without financial literacy become vulnerable and not strong. Imagine an India where every child understands how to manage their own money, makes informed financial choices, avoids scams confidently, grows and participates in digital finance with competence. This is not any unrealistic dream. It is a necessary upgrade. If schools evolve, the impact it brings will be generational.

Education That Prepares, Not Just Instructs

The world is changing fast and education must change with it. A school fair using only cash is not the real concern. It is a symptom, a symptom of a system that still thinks financial literacy is something students will somehow pick up later. But later is too late. Financial decisions begin early sometimes earlier than parents realize. When your child can order something online, transfer money through UPI or receive a digital gift card, they are already inside the financial system.

The gap is obvious, the need is urgent and the solution for it is very clear.

The only question is that are we giving them the tools to navigate it safely? What else should be added to the syllabus?