Enhancing Financial Literacy for Sustainable Economic Inclusion among Students at a University in Cape Town

Abstract

Financial literacy is multidimensional and includes financial knowledge, attitudes, behaviours, and self-efficacy. It is therefore not simply the acquisition of knowledge but also the capacity to apply it through budgeting, planning, and everyday financial decision-making. Sustainable economic inclusion refers to the ability to access, engage with, and benefit from economic opportunities in ways that promote long-term stability. This study examines how financial literacy influences sustainable economic inclusion among students at a university in Cape Town, South Africa. Using a post-positivist survey design, a structured questionnaire was administered to 163 commerce students to assess four financial literacy dimensions, which comprise knowledge, attitudes, behaviour, and self-efficacy. Results show strong awareness of saving and widespread bank account ownership, but weaknesses in credit knowledge, budgeting for emergencies, and decision-making confidence. Financial self-efficacy was the strongest predictor of financial control (r = 0.287) and financial satisfaction (r = 0.472), while reliance on credit increased financial stress. Gender and socioeconomic background influenced outcomes, which indicate that financial literacy is influenced by structural context. The study recommends curriculum-embedded financial education focused on budgeting, debt management, and confidence-building to strengthen economic inclusion and reduce long-term vulnerability.