Rising youth unemployment and fragile livelihoods in Nigeria have sustained policy interest in entrepreneurship as a pathway to economic stability, prompting a critical examination of entrepreneurship education and economic sustainability among youths in Nigeria: an analytical review. The paper interrogated how entrepreneurship education shapes entrepreneurial skills and capacities, evaluates its contribution to income generation and employment creation, and examined the constraints limiting sustainable outcomes. The analysis was anchored on Human Capital Theory, which explains how investment in knowledge and skills enhances productive capacity and economic returns. An analytical review methodology was adopted, drawing on recent peer-reviewed studies (2020–2026) and subjecting them to systematic comparison, evaluation, and synthesis in line with the study objectives. The findings showed that entrepreneurship education strengthens competencies such as opportunity recognition, innovation, and business management, thereby improving youths’ readiness for enterprise creation. Evidence further indicated that youth entrepreneurship contributes to income generation and modest employment creation, particularly within micro and small-scale enterprises, including agribusiness and digital ventures. However, the review identified persistent constraints including limited access to finance, infrastructure deficits, weak programme design, and policy inconsistency which restrict the translation of acquired skills into sustainable economic outcomes. The paper concluded that while entrepreneurship education is essential for enhancing youth economic participation, it is insufficient without a supportive ecosystem. It therefore recommended strengthening experiential learning and incubation, improving access to targeted financing, and addressing structural barriers to enable youth enterprises to achieve long-term sustainability.