Well yeah, like people have been saying, Colonial New England. With lots of Puritans? A place where many people learned to read by means of listening to, and eventually reading passages of the family bible themselves as they grew older? The literacy rate was especially high in such communities because of this intense desire and imperative for the Puritans to be able to read and understand the Bible themselves, and for their children to.
Also a time period in which you could get into a cushier Church Court if you could prove that you could "read" by at least being able to recite a standard passage in the Bible, although actually being able to read/at least knowing like, all the scriptures by memory even if you couldn't very well helped if they got tricky and picked a passage other than the "normal" one because they suspected you memorized by rote.
Also a time period when it was mandatory to attend Church, on pain of fine and damage to your reputation.