78% of students queried had no idea what Euribor or spread means, while nearly half didn’t understand concept of inflation
A new study from the Polytechnic Institute of Viseu has revealed an “alarming” lack of financial literacy among first-year higher education students – even those studying Management.
Some of the findings reported by researchers are truly shocking: of the 172 students surveyed, nearly half didn’t understand the concept of inflation, and a staggering 78% had no idea what Euribor or spread means. And even though 68% were enrolled in Management, more than a third couldn’t calculate basic percentages.
Students were aware of their lack of financial knowledge, researchers point out, with 63% of those surveyed stating that they had “never had contact with financial issues during compulsory schooling”.
The survey, carried out in late 2024 by professors at Viseu’s School of Technology and Management (ESTGV), was based on 172 responses from first-year ESTGV students (58.7% men and 41.3% women), 72.7% of whom were enrolled in degree courses and the rest in Higher Professional Technical Courses (CTeSP).
According to researchers Manuel Reis, Paula Sarabando, Rogério Matias, and Tiago Miguel, the findings are a red flag for policymakers in Portugal.
“The data indicates that the Portuguese government’s recent educational policies, aimed at introducing financial topics into education, need to be reviewed and adjusted,” they say.
“The implementation of financial literacy programmes that are more robust, relevant and effectively provided to students in general (i.e. as part of compulsory education) is therefore a crucial measure to prepare young people for the responsible management of their personal finances, especially in a context of growing economic complexity,” they add.
In their opinion, the time has come to “rethink the model of teaching finance in the country throughout compulsory schooling”, since “financial education is an essential pillar for the future of Portuguese society”.
“A lack of financial knowledge can have lasting impacts, not only on individuals, but also on the country’s economy,” they warned.
