FINANCIAL LITERACY AND ENTREPRENEURIAL SUCCESS:

A PATHWAY TO EMPLOYMENT GENERATION

Abstract

This paper explored the link between financial literacy, entrepreneurial success, and employment generation. It is based on the Human Capital Theory, which states that investing in knowledge and skills increases productivity and economic growth. Various concepts related to variables under study were also reviewed. The review found that job creation depends largely on entrepreneurial success, which mediates the relationship between financial literacy and job creation. Financial literacy equips entrepreneurs with essential skills in budgeting, saving, investing, and credit management. These skills improve business performance and sustainability. The study also showed that financially literate entrepreneurs are more likely to manage their businesses effectively, sustain operations, and expand. Business growth increases labour demand and promotes employment in both formal and informal sectors. It was concluded that financial literacy and entrepreneurial success are very critical to employment generation. Financial Literacy leads to business creation and reduces the level of unemployment, promotes self-reliance, and economic growth. It was recommended amongst others that government and educational institutions should incorporate comprehensive financial literacy training into entrepreneurship and business education curricula at all levels, increase capacity-building initiatives, and policy frameworks to enhance sustainable job creation and economic growth