U.S Federal Reserve Board chairman Alan Greenspan didn’t discuss the economy in his speech today, but he did highlight the importance of financial planning and financial education.

At the Ninth Annual Economic Development Summit hosted by The Greenlining Institute in Oakland, Greenspan said, “Educational and training programs may be the most critical service offered by community-based organizations to enhance the ability of lower-income households to accumulate assets. Indeed, analysts have shown that a comprehensive understanding of basic principles of budgeting and saving, at the start, increases household wealth in later years.”

He noted that as market forces continue to expand the range of financial services, consumers will have more choice and flexibility in how they manage their finances. Financial education can equip consumers to choose among the myriad of products and providers. He said, noting, “It can also help to inculcate individuals with the financial knowledge necessary to create household budgets, initiate savings plans, and make strategic investment decisions. Such financial planning can help families meet near-term obligations and maximize their longer-term well being and is especially valuable for populations that have traditionally been underserved by our financial system.”

Community groups are not alone in the effort to provide life-long financial education, Greenspan said, noting that schools, employers, and the Fed itself are offering programs, too.