Enhancing Financial Literacy and Investment Activity of the Population: Challenges and Development Priorities

Financial literacy has become an essential determinant of household financial well-being and a significant factor influencing saving and investment decisions. This article examines the relationship between financial literacy and the investment activity of the population, with particular attention to the challenges faced by households in emerging economies and Uzbekistan. The study applies a qualitative analytical approach based on international reports, academic literature, and comparative evidence on financial knowledge, saving behavior, financial inclusion, and participation in investment products. The analysis shows that insufficient knowledge of inflation, compound interest, risk diversification, and digital financial products can limit the ability of households to transform savings into productive investments. At the same time, expanding digital financial services creates new opportunities for broader participation in formal saving and investment, while also increasing the importance of consumer protection and digital financial literacy. The paper proposes a set of priorities including financial education across the life cycle, targeted programs for vulnerable groups, development of accessible investment products, stronger consumer protection, and improved cooperation among educational institutions, financial organizations, regulators, and digital platforms. Strengthening these mechanisms can contribute to household financial resilience, greater investment participation, and more efficient mobilization of domestic savings for economic development.