If I remember correctly all important news was read to him. Like the news of Aces execution or the incident of Dragon vs Blackbeard at Baltigo.
The information in the newspaper about getting Yonko Status could be deduced from an image. And as far as we know Luffy has never gone to school. So is he an illiterate?
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He can at least read his own bounty, so kinda assume he can. As a kid, he hang out with Sabo (that has noble education) so will be weird if he’s not learning. And because Garp pushes Luffy to be marine, maybe he also taught Luffy
Even in his Bounty he misread one number by miscounting the number of 0 digits in his Bounty :D. But yeah you are right that proves he can read digits at least.
He can read, he’s just a doofus