FINTECH AND BIG TECH AS THE NEW CREDIT PROVIDER

JURAJ DEDINSKÝ

https://doi.org/10.53465/EDAMBA.2021.9788022549301.82-91

 

Abstract: The change that new technologies will bring to the banking sector can take many forms. Some of these can be already seen in the field of payments, various types of investments but also loans for retail clients and small companies. On one hand, current banks could continue to dominate by providing additional benefits to customers through improvements enabled by technological innovation. On the other hand, current banks may find themselves in a customer battle with new, more agile market participants, who are faster in adopting innovations that meet clients' needs. These developments have the potential to make markets more diverse, competitive, and efficient, but also may be a threat for the financial stability. In this paper, we aim to examine growth in Fintech and Big tech loans during recent years around the world. Secondly, we explore the relationship between flows of alternative credit and gross domestic product. Analysis suggests, that there may be polynomial relationship with declining rate past certain point.

Keywords: digital innovation, Fintech, Big tech, loans, technology

JEL classification: G10, G21

Fulltext: PDF

Online publication date: 12 May 2022

 

To cite this article (APA style): 

Dedinský, J. (2022). Fintech and Big Tech as the New Credit Provider. Proceedings from the EDAMBA 2021 conference, 82 – 91. https://doi.org/10.53465/EDAMBA.2021.9788022549301.82-91