This paper reviews the literature that connects asset savings and poverty to educational outcomes. Studies that have examined the roles of these factors in influencing educational outcomes have recorded positive results. Education is considered as the most fundamental asset savings element in combating poverty. Through education, learners are exposed to broad-based profitable opportunities that free individuals from the ravages of social marginalization. Owing to lack of access to social infrastructure and limited opportunities, the process of acquiring quality education proves to be challenging in poverty-stricken livelihoods (Paxson 11). US National database records from an analysis by UNESCO (40) indicate that high poverty influence education outcomes by increasing the rates of school drop outs amongst the youth and children.
The manifestation of poverty is magnified in economies with high rates of HIV/AIDS transmission. This is generally demonstrated by increased number of orphans (UNICEF 43). Findings suggest that third world economies, particularly in Africa, are the hub of approximately 44 million orphans (Ssewamala 54). As a result of limited financial resources, the society has been incapacitated to cater for the educational needs of the rapidly growing orphaned population. Ordinarily, this demographic category often migrates to urban areas in search of menial jobs while others resort to crime to finance education. Studies also reveal elemental learning disabilities in children from poor backgrounds. Ssewamala (58) confirms that limited household incomes in underdeveloped economies exacerbates poverty and leads to poor academic results in socially marginalized children. Consequently, degradation in the quality of life and education is amplified (Ssewamala 57).
Education is a powerful tool in fostering cohesion, financial and social security in the livelihoods of children (Celia 33). Ordinarily, children play a cognitive role in shaping the future of a country’s destiny and leadership. A preliminary report from the UNICEF (28-29) indeed confirms that lack of quality education and asset savings for poor and marginalized children are barriers to meaningful development. However, underdeveloped economies are striving to avail universally acceptable standards of education as a method of improving the delivery model.
The approach has been adopted particularly in Sub-Saharan Africa, which accounts for 12% of regional HIV/AIDS infections and poverty (UNICEF 36). The objectives of the system have been successful in providing free compulsory primary education in promoting literacy. Going by Bategeka’s (44) findings, the approach increased the number of school enrollments from 2.8-7.8 million in 2003 (Bategeka 44). According to UNICEF reports (31), the number of orphans in Uganda, located in Sub- Saharan Africa, is likely to increase as more infected parents are likely to succumb to HIV pandemic.
A second approach that is used to improve financial education delivery models is the Economic Empowerment Intervention approach. The Implementation of the system entails creation of Children Development Accounts (CDAs). In these accounts, children receive bonuses amounting to 100% for every cent deposited. Eventually, the aggregate pool of funds is used in the payment of tertiary learning fees. Through the model, children are exposed to financial planning and career guidance. A survey analysis on educational clientele that incorporated quasi experimental data discloses high levels of CDAs influence the quality of educational outcomes particularly in orphaned children. Additionally, the findings reveal significant level of CDAs connection to educational goals and aspirations amongst the poverty stricken youth (Paxon, 42).
The concept of asset theory indicates that assets (education, accounts, property) have emotional, economic and social influence to individual development (Celia 39). During economic hardships, assets can be mortgaged and consequently inherited by generations. In addition, assets increase self orientation and connection to the society in people (Celia 43). Thus in Uganda’s context, CDAs serve as substantial opportunities for self expansion and advancement in the fight against poverty. Several surveys that have explored the relationship between learning outcomes and assets record positive findings. Green and White (39) postulate that children from well-off backgrounds were less likely to conceive at an early age and to drop out of school than their counterparts from impoverished families.
Multi-sector partnerships play a cognitive role in enhancing financial capabilities amongst poor children. These are basically community institutions and include faith-based organizations and charitable financial institutions. In lobbying for support of literacy programs, these institutions bargain with government and civic authorities to prioritize on educational matters to the poor. They also sensitize the local community about the plight of the marginalized, yet intelligent youth. More over, the banking industry provides scholarship schemes to needy student to enable them pursue their dream careers. This is a crucial empowerment tool in advancing financial capability opportunities to the youthful.
However limited studies focus on complex pathways that could positively influence educational outcomes. For instance, legal control of permanent assets and household incomes would influence positive educational outcomes by limiting irresponsible maternal involvement. With the implementation of the above models of asset building, the vicious cycle of poverty can be curtailed and educational outcomes can be improved in poor children.
Work Cited
Bategeka L. Universal Primary Education (UPE) in Uganda: Report to the inter-regional equality facility-policy case study. Brighton, UK, University of Sussex, Institute Development Studies, 2005.
Case A. Paxson. Orphans in Africa: Parental death, poverty and school enrollment. Demography, (2004): 41 (3), 483-508.
Celia S. Children and violence: The child and the family. Socio-Cultural Roots of Violence, Northvale, NJ, Jason Aronson Inc. 1994.
Ssewamala F. Children development accounts in Africa: A Pilot Study. St. Louis, MO: Washington University, Centre for Social Development, 2005.
United Nations International Children’s’ Emergency Fund (UNICEF). A Human Rights-Based Approach to Education for All. New York, 2007.
