Financial Literacy Education, Confidence, and Digital Financial Behavior Among Adolescents: Evidence From 19 Countries

ABSTRACT This study examined the relationship between financial literacy education (FLE) and adolescents' use of digital financial services, with a focus on the mediating role of confidence. Using data from the 2022 Programme for International Student Assessment (PISA), which surveyed 94,704 15‐year‐old students across 19 countries, we measured FLE using indicators of cross‐curricular integration and students' reported pedagogical strategies. Path analysis and multigroup confirmatory factor analyses were employed to test the hypothesized relationships and assess cross‐national differences. The findings revealed that FLE had a significant, albeit largely indirect, effect on adolescents' use of digital financial services, operating through students' confidence in managing digital transactions. Cross‐curricular learning and interactive pedagogies enhanced knowledge and built confidence, thereby increasing engagement with digital finance. The results highlight that confidence is the key mechanism by which education translates into digital financial behavior. These findings underscore the need for financial literacy curricula to evolve in line with digital innovation and support policymakers and educators in designing programs that build both financial knowledge and confidence for responsible participation in digital financial environments.