Influence of Financial Literacy on Livelihood Resilience in the Mid -Zambezi Valley

Author

Ashley Mapanzure

Title

Influence of Financial Literacy on Livelihood Resilience in the Mid -Zambezi Valley

Abstract

This study examines the relationship between financial literacy and livelihood resilience among rural households in Zimbabwe's mid-Zambezi Valley. It assesses the current level of financial literacy and proposes recommendations to enhance. Findings reveal low levels of financial literacy, particularly in budgeting, saving, and investment. Limited financial knowledge coupled with dependence on seasonal, low-income activities (subsistence agriculture, natural resource extraction) renders these households highly vulnerable to economic shocks. The research
demonstrates a connection between limited financial literacy and poor financial practices such a inadequate emergency savings, over-indebtedness, and inefficient resource allocation. This, in turn, weakens livelihood resilience, hindering households' ability to absorb and recover from disruptions. Based on the findings, the dissertation proffers several recommendations to enhance financial literacy and strengthen livelihood resilience in the mid-Zambezi Valley. These include
targeted financial education programs, improved access to formal financial services, and the promotion of livelihood diversification strategies. This study investigates the significance of financial literacy in enhancing the financial decision -making capacity of rural populations, thereby promoting livelihood resilience. The study emphasizes the critical role financial literacy plays in equipping rural populations with the knowledge, skills, and attitudes necessary to make informed financial decisions and build more resilient livelihoods. These findings offer valuable insights for policymakers, development practitioners, and rural finance institutions working to improve the financial capabilities and economic well-being of marginalized communities, not
only in Zimbabwe but also in similar contexts globally.

Date

2024

Publisher

BUSE

Keywords

Financial Literacy

Livelihood

Mid-Zambezi Valley

Zimbabwe

Supervisor

N/A