Beijing Project: Financial Asset Building (FAB)

Objectives

  • Assist migrant families financially, by supporting their children through post-middle school education;
  • Encourage migrant families to do strategic planning for their children's post-middle school education, well in advance of graduation;
  • Encourage migrant families to develop long-term saving habits;
  • Evaluate the feasibility and effectiveness of a matched savings program.

Collaborative Partners in Research

  • Center for Chinese Agricultural Policy, Chinese Academy of Sciences (CCAP)
  • China Institute for Educational Finance Research (CIEFR), Peking University

Participants

Grade 8 students from about 50 migrant schools in Beijing.

Program Description

FAB is a research driven project, with two alternative schemes to financially assist migrant families: matched-savings scheme and no-obligation voucher scheme. These two schemes will be compared with a control group who do not participate in either scheme.

Matched Savings Scheme:

Those in the matched-saving scheme are encouraged to save 100 RMB per month for two years, and they would receive double the amount of their savings after two years (that is, 1 dollar of saving will become a total of 3 dollars.) The maximum amount of sponsorship is 4,800 RMB, which will be directly paid to high-school level educational institutions in the form of school fees.

Voucher Scheme:

Scholarship voucher of 4,800 RMB will be paid in the form of tuition expenses directly to the educational institution in which the student enrolls upon middle school graduation.