Mark Carney: The promise of FinTech - something new under the sun?
Speech by Mr Mark Carney, Governor of the Bank of England and Chairman of the Financial Stability Board, at the Deutsche Bundesbank G20 conference on "Digitising finance, financial inclusion and financial literacy", Wiesbaden, 25 January 2017.
1. FinTech's shining future
It is a pleasure to be at Schloss Biebrich as part of this Bundesbank conference on "Digitising finance, financial inclusion and financial literacy."
Just a few hours ago, I was in the world's leading FinTech centre. One which generated £6.5 billion in revenue, attracted just over £500 million in investment and employed around 61,000 people in 2015.
From start-ups in London's Silicon Roundabout to established players in The Valley, entrepreneurs are applying their creativity and technical ingenuity along the financial services value chain.
To its advocates, this wave of innovation promises a FinTech revolution that will democratise financial services.
Consumers will get more choice, better-targeted services and keener pricing.
Small and medium sized businesses will get access to new credit.
Banks will become more productive, with lower transaction costs, greater capital efficiency and stronger operational resilience.
The financial system itself will become more resilient with greater diversity, redundancy and depth.