Abstract
<jats:p>This article provides a comprehensive analysis of the formation and development trends of the digital economy in the context of globalization processes, as well as its impact on youth competencies. The study reveals fundamental changes occurring in the structure of the labor market, the requirements of the education system, and the system of professional skills as a result of the rapid development of digital technologies, artificial intelligence, the data economy, and online platforms. In addition, the integrative impact of the digital economy on educational processes, employment opportunities, and the level of social activity among young people is examined. The article substantiates the importance of developing digital literacy, global citizenship competencies, and innovative and critical thinking skills in enhancing youth competitiveness. Based on the research findings, practical proposals and recommendations aimed at developing youth competencies are presented, and their practical significance is demonstrated.</jats:p>