Financial literacy is missing link between poverty and sustainable prosperity, says LAUTECH's Prof. Onaolapo

 

Financial literacy is missing link between poverty and sustainable prosperity, says LAUTECH's Prof. Onaolapo 

 

As Faculty of Management Sciences holds Third Faculty Lecture

 

 

 

A lecturer and researcher at the Ladoke Akintola University of Technology (LAUTECH), Ogbomoso, Prof. Rahman Adekunle Onaolapo, has identified financial literacy as the critical missing variable in poverty alleviation, describing it as a strategic human capital asset capable of transforming personal financial management, promoting financial inclusion and driving sustainable economic growth.

Delivering the Third Faculty Lecture of the Faculty of Management Sciences on Tuesday, Prof. Onaolapo maintained that financial literacy extends beyond the acquisition of financial knowledge, stressing that it is a practical life skill that shapes financial behaviour, strengthens wealth creation and equips individuals to make informed financial decisions.

Earlier, while declaring the lecture open, the Vice-Chancellor of LAUTECH, Prof. Razaq Olatunde Rom Kalilu, said financial literacy has become an indispensable life competence that should not be confined to accounting or finance but should cut across all disciplines as a tool for personal well-being, institutional sustainability and national development. 

The Vice-Chancellor, who was represented by the University Librarian, Prof. Adefunke Sarah Ebijuwa, noted that universities have a strategic responsibility to produce graduates who possess not only technical expertise but also sound judgement, ethical values, entrepreneurial competence and financial discipline. 

He added that LAUTECH remains committed to producing graduates who combine academic excellence with practical life skills and innovative thinking, urging participants, particularly students, to actively engage in the lecture and translate the lessons into personal practice and national development.

Also, in his opening address, the Dean of the Faculty of Management Sciences, Prof. Joshua Remi Aworemi, described the lecture series as a deliberate platform through which the Faculty periodically opens its doors to critical, evidence-based conversations on issues shaping Nigeria's economy, national development and the well-being of its people. 

He said the initiative reflects the Faculty's commitment to ensuring that the ivory tower continually speaks to the realities of the society it serves, adding that the theme of the lecture was particularly timely as the nation continues to grapple with pervasive poverty and slow economic growth amid growing evidence that inadequate financial literacy remains a major gap in the country's development discourse.

Prof. Aworemi noted that households that lack the capacity to plan, save, invest and manage debt prudently cannot collectively build the resilient economy the nation desires. 

He expressed confidence in the choice of the guest lecturer, Prof. Onaolapo, describing him as a distinguished scholar whose expertise in financial management and economic development would not only enrich knowledge but also stimulate fresh thinking on mainstreaming financial literacy into Nigeria's development agenda. 

The Dean also appreciated the Vice-Chancellor and the University Management for their consistent support for academic excellence and encouraged participants to engage actively with the lecture and by reflect on practical ways of promoting financial literacy for national development.

The guest lecturer, Prof. Onaolapo, whose lecture was titled 'Financial Literacy: The Lacuna in Personal Financial Management, Poverty and Nigeria's Economic Growth – A Pedagogical Synopsis', explained that increasing lifestyle expenses often consume income that should ordinarily be directed towards savings, investment and charitable giving, noting that financial discipline and literacy remain essential for managing such pressures.

He outlined key components of financial literacy to include creating spending and saving plans, saving for future needs, growing wealth through investment, understanding and managing debt, preparing financially for retirement and protecting against unforeseen setbacks. 

According to him, individuals must also understand basic financial concepts such as interest rates, inflation, savings products and financial planning.

The professor described financial planning as a subset of financial literacy, explaining that it involves setting clear financial goals and developing strategies to effectively manage income, expenditure, savings, investments and risk in order to achieve long-term financial objectives.

The scholar argued that inadequate financial literacy remains a major obstacle to poverty reduction, insisting that integrating financial literacy into educational curricula and national development policies is essential for achieving sustainable poverty reduction, inclusive economic growth and an improved quality of life.

He recommended that individuals deliberately embrace financial literacy as a means of escaping debt traps by cultivating consistent saving habits and introducing financial education to children from an early age.

 He advised prioritising investment savings, borrowing primarily to acquire income-generating assets, taking advantage of fractional investment opportunities where necessary and investing in passive-income assets rather than relying solely on active sources of income.

Prof. Onaolapo added that financial literacy is not only a life skill but also a strategic instrument for sustainable development, linking effective personal financial management with financial inclusion, poverty alleviation and sustainable economic growth.

He noted that as countries pursue the United Nations Sustainable Development Goals, particularly SDG 1 (No Poverty) and SDG 8 (Decent Work and Economic Growth), financial literacy offers a practical and sustainable pathway to inclusive prosperity.

The don emphasised that: "Financial literacy is not merely the missing variable in poverty reduction; it is the bridge between economic vulnerability and sustainable prosperity."

Other dignitaries in attendance at the event were the University Bursar, Mr Kehinde Olatokun; the Deputy Dean of the Faculty of Management Sciences, Prof. Akintunde Oyedokun; Heads of Departments, including Prof. Olusola Akande, Prof. B. Ayantoyinbo, and Dr. Sola Ayankola.

Prof. Abiola Idowu, Prof. Victor Dosumu, Prof. Olubunmi Olaifa, Prof. Moyosore Ojokuku, Prof. Sola Akande, Prof. Toyin Olatunji, Prof. Moruf Oladejo, Prof. Ayo Dosunmu, Prof. Ikeola Olaifa, Dr. S.K. Oyedele, Dr. Omolola Gegeleso, Dr Ayantola Adewumi, Dr. Kayode Ojedele, among others, were also in attendance.