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Abstract: In this paper we performed a systematically review of literature on the relationship between financial literacy and entrepreneurship as a way to identify research gaps, suggestions for research proposals, and to prepare empirical works to be implemented in the Mozambican context. For its elaboration we resorted to the bibliographical research of several scientific papers, surveys and empirical literature available. Our findings indicate that entrepreneurship plays a leading role in alleviating poverty, creating new employment opportunities, enabling individuals to make goods and services available, improving their well-being, and improving economic growth and development. Additionally, it was also documented that financial literacy enhances the decision-making process of individuals, allowing for appropriate choices on financial issues. Finally, it was found that financial literacy improves entrepreneurs' skills, making them confident in the decision-making process of savings and financial management of their enterprises. For future research, an empirical work in Mozambique is suggested to verify the relationship between financial literacy and entrepreneurship, considering gender, experience, academic level and training area, by entrepreneurs' activity sector in the three regions (North, Center and South) and a comparison of the results with the studies performed in the neighbouring countries. We finish presenting policy directions regarding how financial literacy may be promoted as a way to ensure entrepreneurship survival and maintenance in the market, to ensure economic growth, employment creation and regional development.
Keywords: Financial Literacy; Entrepreneurship; Decision Making; Savings.
1.Introduction
Entrepreneurship is often viewed as the process that allows individuals or groups to integrate resources and competencies to explore opportunities the environment offers, creating and adding value, with results that include new ventures, products, processes, markets, and technologies. Entrepreneurship responds to some current challenges, such as unemployment, and has been recognized as an important key to sustainable economic development (He, Lu & Qian, 2018). According to Li (2008), although there are several studies on entrepreneurship, it is important to map the course of the studies and develop a tool to guide more studies.
Financial Literacy is assumed to be the skills and knowledge that allow the analysis and understanding of the financial principles needed to make informed judgments and make better financial decisions (Atkinson & Messy, 2012; Taylor & Wagland, 2011). It enables people to weigh all the variables and information...