The views expressed in this presentation are the views of the author and do not necessarily reflect

the views or policies of the Asian Development Bank Institute (ADBI), the Asian Development
Bank (ADB), its Board of Directors, or the governments they represent. ADBI does not guarantee
the accuracy of the data included in this paper and accepts no responsibility for any consequences
of their use. Terminology used may not necessarily be consistent with ADB official terms.

COMMENTS

SESSION 1: FINTECH AND FINANCIAL

INCLUSION FOR HOUSEHOLDS

Kensuke Tanaka, Head of Asia Desk

OECD Development Centre

ADBI Annual Conference: Financial inclusion, Financial literacy,

and Fintech
28-29 November 2019, Tokyo
 Comments
1. Analytical settings and findings
 “Financial literacy” and “digital literacy”

- Issues related to definitions

- People who have higher level of financial literacy

might have higher level of digital literacy ?

 “Financial behaviors” - consistency with other

theories/hypothesis such as permanent income
hypothesis, pre-cautionary savings, etc.

 Difference in initial economic environments between

South Asian and Sub-Saharan African countries 2
 Comments
2. Policy issues
 “Digital literacy” in OECD countries
- beyond basic usage of mobile phone and
internet

 How to enhance digital literacy (digital

education) ?

3
Use of advance ICT tools is still limited…
 How to enhance digital literacy ?

 Quality of teachers
 Quality of curricula
 TVET and life-long learning

5
 ICT jobs have expanded
Employment in the ICT sector in Emerging Asia

Actual employment (LHS) Share of total employment (RHS)

Thousand people % Thousand people %

200 3 4 500 3
180 4 000
2.5 2.5
160
3 500
140
2 3 000 2
120
2 500
100 1.5 1.5
2 000
80
1 1 500 1
60
40 1 000
0.5 0.5
20 500
0 0 0 0
2014
2017
2012
2013
2014
2015
2016
2012
2013
2014
2015
2012
2013
2014
2015
2016
2017
2018
2012
2013
2014
2015
2016
2017
2018
2013
2014
2015
2016
2017
2018
2012
2013
2014
2015
2016
2017

2012
2013
2014
2015
2016
2017
Brunei Cambodia Indonesia Philippines Singapore Thailand Viet Nam China
Darussalam
Source: OECD Economic Outlook for Southeast Asia, China and India 2020.
 The number of teachers with
satisfactory digital skills is limited
Vocational teachers with satisfactory computer skills in Viet Nam, 2017
%
50
45
40
35
30
25
20
15
10
5
0
College TVET school TVET centre Other training
institutions
Source: OECD Economic Outlook for Southeast Asia, China and India 2020.
 There is scope to deepen the use of ICT in
TVET programmes
Examples of initiatives on ICT use in TVET
Countries Initiatives
Brunei Darussalam • Project 4C-Minecraft
Indonesia • Digital Simulation (mainly for all fields of studies in
vocational secondary school)
• Course Development Plans for e-commerce and Industry
4.0 in vocational higher institution level
Malaysia • Internet of Things Expertise in Agriculture
• Diploma in Database Management System and Application
• Industrial Centre of Excellence for Integrated Welding
Program
Philippines • National Technical Education Skills Development Plan
2018-22
Singapore • Interactive Scenario-Based Learning Experience
• Project-Based Learning with Webinar
• Learning Through Filming
Source: OECD Economic Outlook for Southeast Asia, China and India 2020.
 Monitoring and supervision of lifelong
learning initiatives can be improved
Change in adult learning participation rates in Emerging Asia since 2009
Increased Decreased No change Do not know/No answer

Residents of rural and remote areas

Workers in low-skill, low-wage and precarious employment

Adults with low-level literacy and basic skills

Minority ethnic, linguistic and religious minorities and
indigenous peoples
Senior citizens/the retired

The long-term unemployed

Young persons not in education, employment and training

Adults living with disability

All those seeking recognition for prior learning

Migrants and refugees

0 2 4 6 8 10 9
12
Source: OECD Southeast Asia Economic Outlook 2020. Number of countries
 Appropriate technology use is vital, but
how much is too much?
PISA 2015 performance and ICT use at school

Bottom quartile Second quartile Third quartile Top quartile

Students’ mean scores in science by quartile of the index of ICT use at school
Mean score
600
550
500
450
400
350
300

Source: OECD calculations based on OECD (2015c), PISA database 2015, http://www.oecd.org/pisa/data/2015database/; OECD Economic Outlook for
 Appropriate technology use is vital, but
how much is too much?
PISA 2015 performance and ICT use at school

Bottom quartile Second quartile Third quartile Top quartile

Students’ mean scores in mathematics by quartile of the index of ICT use at

Mean score school
600
550
500
450
400
350
300

Source: OECD calculations based on OECD (2015c), PISA database 2015, http://www.oecd.org/pisa/data/2015database/; OECD Economic Outlook for
 Bridging the socio-economic gap in digital
access is a pressing issue
Socio-economic gap in digital access in schools, 2012
%
30

25

20

15

10

0
Indonesia Malaysia Singapore Viet Nam
Note: The socio-economic gap in digital access in schools is defined as the difference in internet connection access between schools with students of high socio-economic background and schools
with students of low socioeconomic background. The high and low socio-economic background schools are defined based on their students being part of the top quarter or bottom quarter of the
PISA index of economic, social and cultural status (ESCS).
Source: OECD (2015b), Students, Computers and Learning: Making the Connection – OECD Economic Outlook for Southeast Asia, China and India 2020.