Today, being financially aware isn’t a luxury anymore — it’s a basic life skill. With rising living costs, digital banking and growing personal debt, financial literacy is something everyone needs. That’s probably why more companies in India are now including financial education in their CSR (Corporate Social Responsibility) plans.
The Companies Act, 2013 – Schedule VII was updated in 2025 to explicitly allow financial literacy projects as eligible CSR activities, under the head of promoting education and enhancing vocational skills.
What Is Schedule VII?
Schedule VII is a list that tells Indian companies what kind of social projects they’re allowed to fund using their CSR budgets. If a company has a net worth of ₹500 crore or more, or a turnover of ₹1,000 crore+, or net profit of ₹5 crore+, it needs to spend 2% of its average net profits from the last 3 years on CSR.
Financial literacy didn’t always get mentioned clearly — but now it’s listed under education and livelihood enhancement, which removes all ambiguity.
Why Financial Literacy Matters (and Fits Perfectly Under CSR)
Most people were never taught how to manage their money. Budgeting, saving, loans, insurance, interest rates are all learnt as and when the need arises. But the lack of structured learning means many fall into debt, scams, or bad financial habits.
In India, this gap is huge, as per SEBI’s 2020 survey, only 27% of Indians are financially literate.
CSR projects that promote financial literacy can help solve this. Here’s how:
- Women become more independent when they know how to manage money.
- Young people learn to avoid credit traps and plan better.
- Rural areas gain digital confidence, thanks to financial apps and tools.
What Indian Companies Are Doing
Big names in India are already working in this space. And it’s not just workshops – it’s integrated, well-planned programs. Here are some ways they’re doing it:
- Workshops on savings, interest rates, UPI, and digital safety.
- School tie-ups to teach basic finance in high schools.
- Programs for women in rural SHGs, to handle group funds.
- Trainings for gig workers and small vendors — especially post-COVID.
Most of these projects are done via NGOs or CSR foundations that specialize in financial literacy.
FinX Foundation
One such partner is FinX Foundation, which designs and delivers financial literacy programs across India. It focuses purely on finance education — from school kids to self-employed women.
What FinX offers:
- Tailored content for students, employees, homemakers, and SHGs
- Rural & urban outreach using digital and offline modules
Campaigns about financial rights, cyber scams, and loan traps - Regular impact reports to ensure CSR compliance
They’ve worked with companies in manufacturing, BFSI, retail, and more — and make it easy for CSR teams to roll out compliant, trackable projects.
Why You Should Add Financial Literacy to Your CSR Plan
Here’s why financial literacy checks all the right boxes:
- It has a wide reach – It applies to students, salaried people, gig workers and rural households alike.
- It creates long-term impact – Better savings, lower debt, smarter investments.
- It aligns with national priorities – Like Digital India, PM SVANidhi, and Jan Dhan Yojana
- It’s fully CSR-eligible – As per the 2025 amendment of Schedule VII.
Want to Start a Financial Literacy CSR Project? Here’s How.
- Choose your audience
Will you work with students, SHGs, vendors, women, gig workers, or the general public? - Decide how you’ll deliver it
Offline workshops? App-based training? Hybrid model? - Get a good partner
An expert NGO or a foundation (like FinX) can help you create content, deliver and report impact properly. - Track your results
Use clear indicators: how many trained, what they learned and any real behavior change.
FAQ’s
Is financial literacy eligible under CSR?
Yes. As of 2025, it clearly falls under “promoting education” and “vocational skills.”
What types of financial literacy activities qualify?
- Budgeting & saving workshops
- School-level financial training
- Digital payments & banking awareness
- SHG and micro-entrepreneur trainings
Can digital financial training be counted under CSR?
Yes. Anything that promotes safe use of UPI, banking apps, wallets or helps fight digital fraud qualifies.
How can companies stay compliant?
- Partner with experts like the FinX Foundation
- Keep detailed records (attendance, topics covered)
- Submit proper CSR impact reports
Is this only for rural areas?
Not at all. Urban India has different challenges — investment scams, credit card traps, loan mismanagement — and needs financial literacy too.
How do you measure success?
- Total people trained
- Knowledge gained (before/after tests)
- Behavior changes (e.g., more digital savings, fewer informal loans)
Is there government recognition?
Yes. These programs align with national missions like Jan Dhan, PM SVANidhi, and RBI/SEBI guidelines on investor protection.
Final Thoughts
Financial literacy is not just a CSR checkbox — it’s a real need. It uplifts individuals, families, and communities. The 2025 update makes it easier for companies to invest in this space without worrying about compliance.
Whether you’re a company looking to expand your CSR strategy or an NGO looking to collaborate, financial literacy is a smart, impactful place to start.
