In conjunction with the 2026 International Women’s Day (IWD) theme (“Rights. Justice. Action.”), UNFPA Malaysia presents an op-ed series uncovering a significant barrier to justice and equity: financial abuse. 

In the first part of this series, we defined financial abuse, explored what it looks like, and identified who is most vulnerable. But understanding the problem is only half the battle. To truly tackle financial abuse, we must confront its hidden impacts, uncover why it often remains invisible, and chart a path forward. This involves not just survivors, but all of us.

The Hidden Impact of Financial Abuse

The damage caused by financial abuse goes far beyond lost money. Its devastating economic consequences can include victims discovering their savings have been wiped out, their assets taken, or debts piled up in their name. Credit scores can be destroyed, making it harder to access housing, jobs, or loans in the future. Rebuilding financial security often takes years.

Next, financial abuse can also result in acute psychological harm on survivors. Constant monitoring, coercion, and financial control erode self-confidence. Victims may feel ashamed, helpless, or even incapable of managing money, and these beliefs can keep them trapped in dependency.

Lastly, it can perpetuate a cycle of poverty and abuse, with impacts cutting across generations and across the lifetime. When caregivers or parents face financial abuse, children suffer too. Families may face poverty, disrupted schooling, and long-term instability.

It is critical to keep in mind that financial abuse is not just a private matter. Its impacts can be far-reaching, leaving lasting scars on individuals, families, and communities.

Why Does Financial Abuse Stay Hidden?

Despite its widespread impact, financial abuse remains one of the least recognised forms of exploitation. Why is this so? First, it can result from a lack of awareness: Many victims don’t even realise what they are experiencing has a name. In some cultures, financial control within families is normalised, making abuse harder to identify. Stigma and shame also plays a role. Talking about money is taboo in many societies, and victims may feel embarrassed to admit they have been exploited, particularly by someone close. 

Next, dependence on the abuser prevents victims from breaking free. For many, the abuser is also the provider of housing, caregiving, or daily necessities. Speaking out may feel too risky. Lastly, weak legal protections result in continued abuse. As long as financial abuse is not explicitly recognised in law, it will remain unaddressed. Without clear definitions and enforcement, victims are left unprotected.

Ultimately, the invisibility of financial abuse makes it harder for victims to seek help, and easier for abusers to continue unchecked.

Why We Need a Multi-Stakeholder Response

Financial abuse cannot be solved by victims alone. It requires a collective response across multiple layers of society. Each stakeholder has a role to play:

• Policymakers and regulators: Governments must formally recognise financial abuse in domestic violence, elder care, and financial crime laws. Clear definitions, enforcement mechanisms, and survivor protections are critical. Regulators can also require safeguards, such as preventing coercive withdrawals or enabling survivors to open protected accounts.
• Financial institutions: Banks and insurers are on the frontlines of money management. By training staff to spot red flags, such as sudden, unusual transactions or unexplained account changes, they can intervene early. Survivor-focused products, such as fee waivers, safe accounts, or debt relief programs, can help rebuild independence.
• Employers: Workplaces can be lifelines. Flexible leave policies, employee assistance programs, or salary advance schemes can give victims breathing space to escape abusive situations. Employment is often the first step toward financial freedom.
• Community organisations and NGOs: Grassroots groups provide immediate relief, from shelter, legal advice and counseling to financial literacy training. They also reduce stigma by creating safe spaces for survivors to speak out.
• Families and friends: Support networks matter. Loved ones who recognise warning signs, including sudden financial distress, loss of access to money, or unusual dependence on a partner, can step in with non-judgmental support. Sometimes, a single conversation can open the door to recovery.
• Media and educators: Public campaigns, school curricula, and community workshops can raise awareness. By normalising conversations about financial abuse, we chip away at the silence and shame that allow it to persist.

The Path Forward

Ending financial abuse is about more than stopping exploitation. It is about restoring autonomy, dignity, and equality. Money is more than numbers in a bank account. It also represents freedom of choice, security, and the ability to shape one’s future.

Three priorities stand out:

1. Awareness: Educate the public about what financial abuse is, how to spot it, and where to seek help.
2. Protection: Strengthen laws, regulations, and institutional safeguards that prevent abuse and protect survivors.
3. Empowerment: Equip victims with the tools to rebuild, whether through financial education, survivor-friendly financial services, or community support systems.

Conclusion

Financial abuse thrives in silence. By exposing its hidden impacts, naming the reasons it stays invisible, and demanding a collective response, we can bring it out of the shadows. This is not just about safeguarding money; it is about safeguarding human rights.

A future free from financial abuse requires all of us: governments, banks, employers, NGOs, families, educators, and communities. Together, we can restore independence, dignity, and hope, ensuring that no one’s life is defined by financial control.

 By: Professor Dr. Aishath Muneeza, Senior Islamic Finance Consultant, UNFPA in Malaysia 

About the United Nations Population Fund (UNFPA) in Malaysia: 

UNFPA is the United Nations sexual and reproductive health agency. Our mission is to deliver a world where every pregnancy is wanted, every childbirth is safe and every young person's potential is fulfilled. Since 1973, UNFPA has been working hand in hand with the government of Malaysia to attain the vision and equity that the country aspires towards for her people and national development.