Israel Likely to Skip OECD Financial Literacy Test in 2029 due to political reasons

Israel is not expected to participate in the international financial literacy assessment scheduled for 2029 as part of the OECD’s PISA examinations — a departure from the country’s consistent participation in OECD testing over the past 25 years.

Registration for the financial literacy module closes on February 28, but Israel has not yet signed up. Approximately two months ago, Israel’s delegation to the OECD informed the organization’s education division that the country was not expected to take part.

Concerns Over International Comparisons

If Israel ultimately opts out, policymakers in the Education and Finance ministries will lose the ability to compare Israeli students’ financial skills with those of their peers worldwide.

The Ministry of Finance has reportedly urged the Ministry of Education to register for the assessment, but without success so far.

Financial literacy tests measure students’ understanding of economic and consumer concepts such as interest, inflation, household budgeting, responsible borrowing, insurance decisions and basic price comparison.

According to sources familiar with the matter, the Education Ministry may be seeking to avoid the publication of potentially low international scores during the current term.

Minister Says Decision Not Final

The office of Education Minister Yoav Kish said the matter remains under review. While Israel has not registered and previously signaled it would not participate, Kish’s office stated that no final decision has been made and that the issue is still being examined at the professional level.

The financial literacy exam will be administered alongside the core PISA assessments in mathematics, science and reading. According to the OECD, its purpose is to “prepare students for their financial future.”

New Financial Education Program Announced

Israel currently does not operate a formal nationwide financial education curriculum. On Monday, Kish announced plans to introduce such a program beginning next school year for ninth-grade students.

The program is expected to include one weekly instructional hour, to be funded by reallocating time from geography studies, as the ministry lacks budgetary capacity to add teaching hours. Expansion to tenth grade is planned within two years.

However, implementation may face obstacles, including the need to train thousands of teachers. At present, few educators are formally qualified to teach financial education.

Past Performance Raises Questions

Israel last participated in the PISA financial literacy assessment in 2012. At that time, Israeli students ranked 14th out of 17 participating countries, and 23% failed the test — compared with an OECD average failure rate of 15%.

The OECD emphasizes that financial literacy among students is linked to responsible financial behavior in adulthood, including price comparison, savings habits and long-term planning.

A final decision on Israel’s participation is expected in the coming days, ahead of the registration deadline.