Makerspaces are gaining popularity in the educational activities of all age groups, from primary schools to higher education institutions, particularly in science, technology, engineering, and mathematics (STEM) disciplines. Due to makerspaces' hands-on learning approach, it is generally believed that learning in makerspaces influences students' creative and thinking skills. Experiments have been performed to explore this relationship; however, they are limited to a particular type of makerspace and address only some aspects of creativity. Therefore, using a systematic literature review (SLR) approach, we attempted to understand the relationship between makerspaces and creativity in the context of STEM education. The SLR offers a holistic view of makerspaces fostering four aspects of creativity from primary to higher education. This SLR used three primary categories of terms in its search string: (i) makerspace and associated terms, (ii) creativity and innovation, and (iii) variants of the term "STEM." Using the Summon meta-database, we searched 103 digital databases (including Scopus, IEEE, and ASEE). The initial search considered peer-reviewed scholarly journal articles and conference proceedings focusing on STEM disciplines published from 2000 to August 2021. After following the PRISMA guidelines for reporting systematic reviews, 34 relevant papers remained eligible for inclusion. The selected papers were analyzed using thematic analysis. Various types of makerspaces show empirical evidence of fostering creativity. This review additionally identifies seven factors that foster creativity in a makerspace environment. These findings will be beneficial for applying makerspace tools and interventions to enhance creativity in the context of STEM disciplines.