This archive report was first published on 13 September 2021.
On International Literacy Day, we reflect on the crucial role literacy plays in economic growth and prosperity. The pandemic has highlighted the need for digital literacy, and the consequences of not having it are stark. According to UNESCO, at least 773 million young people and adults lack basic literacy skills, making it difficult for them to participate meaningfully in their communities.
As we celebrate this day, we are reminded that the recovery from the pandemic requires science, financing, and investment. However, one of the levers, literacy, is often overlooked as a catalyst for economic transformation. More than 2 billion adults worldwide are unable to contribute to their communities due to a lack of literacy skills, costing the global economy over USD 1 trillion.
Micro Small and Medium Businesses (MSMBs) are often led by individuals whose literacy and financial literacy are critical to reigniting local economies. The pandemic has changed the way consumers and merchants transact, and digital financial services have become essential. Tools like Visa's Practical Money Skills and Practical Business Skills are designed to help individuals, households, and businesses rebuild with skills, tools, and knowledge about the fundamentals of the modern economy. However, people need to be literate to use them.
Technology allows individuals and communities to leapfrog over the new requirements of modern society. Skills embedded in literacy sustain the momentum. Given that MSMBs are the backbone of economies, ensuring that entrepreneurs have the right set of skills to start, improve, and access markets is a combination for success.
As we celebrate International Literacy Day under the theme 'Literacy for a human-centred recovery: Narrowing the digital divide,' UNESCO invites all to join the day to increase people's access to capabilities and strengthen the foundation at the intersection of literacy and digital skills.
