Multi-modal models have shown appealing performance in visual recognition tasks, as free-form text-guided training evokes the ability to understand fine-grained visual content. However, current models cannot be trivially applied to scene text recognition (STR) due to the compositional difference between natural and text images. We propose a novel instruction-guided scene text recognition (IGTR) paradigm that formulates STR as an instruction learning problem and understands text images by predicting character attributes, e.g., character frequency, position, etc. IGTR first devises $\left\langle condition,question,answer\right\rangle$ instruction triplets, providing rich and diverse descriptions of character attributes. To effectively learn these attributes through question-answering, IGTR develops a lightweight instruction encoder, a cross-modal feature fusion module and a multi-task answer head, which guides nuanced text image understanding. Furthermore, IGTR realizes different recognition pipelines simply by using different instructions, enabling a character-understanding-based text reasoning paradigm that differs from current methods considerably. Experiments on English and Chinese benchmarks show that IGTR outperforms existing models by significant margins, while maintaining a small model size and fast inference speed. Moreover, by adjusting the sampling of instructions, IGTR offers an elegant way to tackle the recognition of rarely appearing and morphologically similar characters, which were previous challenges. Code: https://github.com/Topdu/OpenOCR .