Template-Type: ReDIF-Paper 1.0
Author-Name: Jon Frost
Author-X-Name-First: Jon
Author-X-Name-Last: Frost
Title: The economic forces driving fintech adoption across countries
Abstract: Fintech is being adopted across markets worldwide - but not evenly. Why not? This paper reviews the evidence. In some economies, especially in the developing world, adoption is being driven by an unmet demand for financial services. Fintech promises to deliver greater financial inclusion. In other economies, adoption can be related to the high cost of traditional finance, a supportive regulatory environment, and other macroeconomic factors. Finally, demographics play an important role, as younger cohorts are more likely to trust and adopt fintech services. Where fintech helps to make the financial system more inclusive and efficient, this could benefit economic growth. Yet the market failures traditionally present in finance remain relevant, and may manifest themselves in new guises.
Length: 17 pages
Creation-Date: 2020-02
File-URL: https://www.bis.org/publ/work838.pdf
File-Format: Application/pdf
File-Function: Full PDF document
File-URL: https://www.bis.org/publ/work838.htm
File-Format: text/html
Number: 838
Classification-JEL: E51, G23, O33
Keywords: fintech, digital innovation, financial inclusion, financial regulation
Handle: RePEc:bis:biswps:838