In the context of modernization of the higher education system, the transition to a competency-based model of specialist training, and the growing orientation of educational programs toward the practical demands of the economy and labor market, the search for and implementation of effective educational tools that ensure the formation of sustainable professional competencies among students becomes particularly relevant. One of such tools is project-based activity, which integrates theoretical training with practice-oriented learning and creates conditions for the active involvement of students in solving real profess The relevance of this study is determined by the need to overcome the gap between students’ academic training and the requirements of the professional environment, which is manifested in an insufficient level of practical skills, limited ability to work in teams, make well-founded decisions, take responsibility for results, and adapt to changing conditions of professional activity. In this regard, project-based activity is considered not as an auxiliary element of the educational process, but as a systemic pedagogical tool that contributes to the formation of both professional and universal competencies of students. The object of the research is the educational process in the higher education system, while the subject of the research is project-based activity as a tool for the formation of students’ professional competencies. The purpose of the article is to provide a comprehensive theoretical justification of the role and significance of project-based activity in the training of future specialists, as well as to analyze its potential in the development of professional, communicative, analytical, and managerial competencies of students. The research methodology includes methods of analysis and generalization of scientific publications by domestic and foreign authors, systemic and structural-functional analysis, as well as elements of comparative analysis of pedagogical approaches to organizing project-based learning. The paper examines the key characteristics of project-based activity, the stages of its implementation in the educational process, the role of the instructor as a mentor and coordinator, and the conditions that ensure the effectiveness of project-based learning in higher education institutions. As a result of the study, it is established that project-based activity contributes to the formation of students’ ability to apply theoretical knowledge in practical situations, develops skills of independent work, critical thinking, teamwork, and responsibility for the final result. It is substantiated that the systematic integration of project-based activity into educational programs increases the level of professional readiness of graduates, their competitiveness in the labor market, and their adaptive potential in a dynamically changing professional environment. The study concludes that expanding and institutionalizing project-based activity in the higher education system is advisable as one of the key tools for forming professional competencies and improving the quality of specialist training.