An economic assistance program for families in the Arab community in Israel affected by the repercussions of the Corona crisis
Introduction
This document is a proposal for an assistance program for families in the Arab community that have been affected by the crisis resulting from the spread of the Corona pandemic. The financial education tools that will be provided to people according to this proposal are expected to help heads of households acquire sound financial management skills and habits and make better economic decisions. Financial education is one of the tools available today to inculcate wiser and more effective economic behavior among the general public.
Program Leadership
The program will be managed by the Arab Economic Forum, an independent, non-profit socio-economic research center. The forum aims to study social and economic issues, conduct applied research and policy studies in the fields of economics and society, with the aim of bringing about fundamental change in the social and economic situation of the Arab Palestinian community in Israel.
The forum is a financially and administratively independent body with no party, religious or ethnic affiliation, and operates under the supervision of a board of trustees composed of well-known academics and public figures in Israel and abroad. The Board of Trustees determines the Center’s research policy, approves its plans and budget, and oversees the implementation of its programs. The Forum is directed by Dr. Sami Meari, who was selected by the Board of Trustees, and its work is supervised by an independent auditor who was also selected by the Board of Trustees.
The Forum’s vision is to develop and expand the economy in the Arab community in Israel in all aspects of life, which is in complete harmony with the Forum’s goal of spreading financial literacy among individuals and institutions in this community.
Background
The Corona pandemic crisis is causing significant economic disruption in the Israeli economy, especially among families and individuals. Business owners, freelancers, and employees were suddenly forced, without being prepared, to face a very difficult economic spiral after the government decided to reduce economic activity in order to combat the Corona virus. As a result, many families find themselves completely helpless in the face of the huge loss of income, while expenses have not decreased, and in some cases have increased.
In these days in particular, it is important to internalize the importance of financial education in the Arab community in Israel. The Arab community in particular is expected to face difficult economic challenges due to the special nature of the local labor market and the unique employment characteristics of men and women. One of the tools for effectively dealing with these challenges is to raise awareness and promote financial education among Arab families, which will improve the quality of life of Arab families. Increasing awareness of opportunities as well as risks, the importance of wise and balanced consumption, the importance of comparing prices and postponing luxuries, and dealing with the culture of luxury are just some of the benefits of financial education.
Financial education is the process by which consumers improve their understanding of financial services and the principles by which financial markets operate. Financial education develops the skill and self-confidence to make informed decisions, and to recognize the need for professional assistance and where to obtain it. Financial education increases the knowledge and awareness necessary to deal properly with financial markets based on the individual’s need to take full responsibility for managing his or her financial affairs wisely and effectively.
Financial education is suitable for children of different ages depending on the life cycle in which they find themselves – starting from the young ages in which the foundation for sound financial management is laid, to the more advanced ages in which financial decisions are directly reflected in the quality of life of the individual and his family. Therefore, internalizing the values of financial education in families will lead to the acquisition of the right habits and tools to deal with different situations in order to make wiser decisions in the economic and financial field, such as acquiring knowledge, skills and values that instill the right behavioral components for wiser consumption and the ability to save and invest in the long term.
