Template-Type: ReDIF-Paper 1.0
Author-Name: Julian Caballero
Author-X-Name-First: Julian
Author-X-Name-Last: Caballero
Author-Name: Sebastian Doerr
Author-X-Name-First: Sebastian
Author-X-Name-Last: Doerr
Author-Name: Aaron Mehrotra
Author-X-Name-First: Aaron
Author-X-Name-Last: Mehrotra
Author-Name: Fabrizio Zampolli
Author-X-Name-First: Fabrizio
Author-X-Name-Last: Zampolli
Title: How far can digital innovation improve credit to small firms in emerging market economies?
Abstract: Small and medium-sized enterprises (SMEs) in emerging market economies struggle to access credit, partly due to firms' short financial histories and lack of collateral.
The rise of big tech and fintech lenders that make better use of data and digital innovation could reduce the need for collateral and improve SMEs' access to credit. However, big tech and fintech lending so far constitutes only a small share of the total.
Digital innovation by itself may not be enough to substantially improve SME lending without further progress in overcoming more deep-seated obstacles.
Length: 8 pages
Creation-Date: 2025-02-27
File-URL: https://www.bis.org/publ/bisbull99.pdf
File-Format: Application/pdf
File-Function: Full PDF document
File-URL: https://www.bis.org/publ/bisbull99.htm
File-Format: text/html
Number: 99
Handle: RePEc:bis:bisblt:99