Importance of Personal Finance Literacy to Overwhelm Financial crisis. (In Case Of Selected Bank Users in Dire Dawa City, Ethiopia)

Abstract

This study examines financial literacy level across demographic characteristics of study participants and also finds out financial preparedness to stay financially viable during the unexpected financial crisis of the Covid 19 era. It further seeks to identify and suggests an important hub resource for peoples to manage personal finance in a time of crisis. This study adopted a descriptive study design and purposive sampling method. Data were conveniently collected from 44 bank users in Dire Dawa. The Objective of this study shows that financial vulnerability is particularly severe among specific demographic groups whose income is not regular and those with low income. The study finds out that the ability to understand and use it is knowledge to make a sound financial decision is varies across individual’s demographic character of respondents. Finally, some important resource hubs suggestions are provided to deal with personal finance decisions in times of emergency.