Financial literacy is the possession of knowledge and understanding of financial matters. It is also termed as financial education, financial knowledge and economic education. The absence of financial literacy may lead to making poor financial decision that can have adverse effects on the financial health and wellbeing of an individual. Therefore, financial literacy initiatives have been started in many countries throughout the World. This paper provides a review of current researches on financial literacy and attempts to find out gaps. It begins with defining the term ‘financial literacy’ and outlines the approaches adopted in measuring the level of financial literacy in different studies and finally an analysis is carried out on determinants of financial literacy level among different groups of people.

KEYWORDS: Financial literacy, Literature review, Measurement, Approaches and Determinants.