Why is it important? Financial literacy in students in entrepreneurship: A systematic literature review

Student entrepreneurship is increasingly recognized as a driver of economic growth, innovation, and job creation, particularly in developing countries. However, limited financial literacy remains a major barrier to entrepreneurial success among students. This study aims to systematically review the role of financial literacy in supporting student entrepreneurship. A systematic search using the PRISMA 2020 method was conducted in Scopus for the period 2014-2024 with the following search string: ("financial literacy" AND entrepreneurship AND student*) OR ("financial literacy" AND "youth entrepreneurship"). From an initial 155 records, 36 studies met the inclusion criteria: peer-reviewed, empirical, English language, and focusing on students in the context of entrepreneurship. The review identifies three main themes. First, the financial skills addressed include budgeting, saving and borrowing, cash-flow management, investment and risk assessment, and basic accounting. Second, approaches to improving financial literacy are primarily through integrated curricula, business simulations, student venture projects, and industry mentoring. Third, financial literacy strongly impacts entrepreneurial outcomes, including higher self-efficacy, better financial decision-making, stronger resilience in cash-flow management, and greater sustainability of student ventures. The findings underscore the importance of integrating financial literacy as core human capital within entrepreneurship education, especially in developing countries. Limitations of this review include reliance on Scopus and exclusion of non-English studies. The study provides theoretical, practical, and policy implications for universities, educators, and policymakers.