FINANCIAL LITERACY AS PSYCHOLOGICAL CAPITAL OF YOUTH UNDER CONDITIONS OF UNCERTAINTY

Abstract

The article presents a theoretical analysis of financial literacy as a form of psychological capital of youth under conditions of uncertainty. The relevance of the study is determined by the increasing complexity of contemporary financial systems, the rapid expansion of digital banking services, and the growing necessity for young people to make independent financial decisions in an environment characterized by inflation, market volatility, and prolonged socio-economic instability. In the Ukrainian context, these challenges are additionally intensified by the ongoing full-scale war, which generates a persistent background of uncertainty that is not exclusively economic but also security-related, social, and existential, since it affects young people’s ability to anticipate the future and to plan their life trajectories. The author argues that financial literacy should not be reduced to the mere accumulation of economic knowledge and technical skills; rather, it should be conceptualized as a multidimensional psychological construct integrating cognitive, motivational, emotional, and behavioral components that jointly function as a form of psychological capital. Drawing on the social-cognitive theory of A. Bandura, the theory of planned behavior of I. Ajzen, the prospect theory of D. Kahneman and A. Tversky, and the capability approach of A. Sen, the study substantiates the conceptualization of financial literacy as psychological capital. Particular attention is paid to the psychological mechanisms through which financial literacy influences financial behavior, including financial self-efficacy, tolerance for uncertainty, perceived risk, institutional trust, and emotional regulation. The theoretical analysis demonstrates that the link between financial literacy and financial behavior is non-linear and is shaped by a number of psychological variables rather than by the volume of knowledge alone. The article emphasizes that during the period of emerging adulthood financial literacy performs not only an instrumental but also a protective psychological function: it reduces uncertainty-related anxiety, enhances perceived behavioral control, and fosters psychological resilience. The conclusions stress the necessity of integrating psychological components into financial education programs targeting youth and the importance of designing communication strategies of financial institutions that take into account the psychological vulnerability of young clients in uncertain environments. The proposed theoretical framework creates a basis for further empirical research on the psychological determinants of financial behavior of youth in Ukraine.