Yoga has long been recognized for its benefits in promoting mental well-being and holistic health. Similarly, Psychological Capital (PsyCap)—comprising hope, efficacy, resilience, and optimism—has emerged as a key construct in positive psychology and organizational behavior, influencing personal development, well-being, and workplace effectiveness. Despite their individual significance, the relationship between psychological capital and yoga remains underexplored. This systematic literature review aims to synthesize existing research to better understand the interconnection between yoga and psychological capital, particularly in fostering mental resilience, coping strategies, and overall psychological well-being. Papers from the following data base: Scopus, PubMed, Airti Library, and National Central Library were thoroughly searched to identify the relative articles published between 2008 and 2018. By conducting a systematic review of academic databases, this study examines how different yoga practices contribute to PsyCap development and explores the mechanisms through which yoga influences psychological capital components. Research suggests that yoga fosters resilience by enhancing stress management, hope by promoting goal-directed thinking, and efficacy by improving self-confidence through physical and mental discipline, and optimism by encouraging positive reframing and mindfulness. Despite these potential benefits, a comprehensive theoretical framework linking yoga and PsyCap remains lacking. This review also evaluates the broader implications of yoga on personal and professional well-being, considering its applications in stress reduction, leadership development, and workplace performance. The findings indicate that yoga-based interventions have the potential to strengthen psychological capital, providing individuals with greater emotional stability and adaptability in challenging environments. Moreover, yoga may serve as an effective tool for enhancing well-being and mental resilience, particularly in organizational settings where PsyCap plays a crucial role in employee engagement and productivity. Finally, this study identifies gaps in the literature and proposes future research directions to explore the nuanced interactions between different styles of yoga and PsyCap components. Understanding this relationship can pave the way for integrating yoga into mental health interventions, leadership training, and personal development programs. By bridging the gap between yoga and psychological capital, this research sheds light on their shared potential to foster a more resilient and psychologically empowered society.