Fintech for Asian SMEs
To enhance productivity and ensure sustainable growth in Asia, it is vital to provide smooth financing to SMEs.
SMEs play a vital role in the Asian economy and comprise about 70% of the workforce and GDP in the region. To enhance productivity and ensure sustainable growth in Asia, it is vital to provide smooth financing to SMEs. Traditionally, commercial banks in Asia have regarded loans to SMEs as too risky relative to high transaction costs. However, new technologies including distributed ledger technology, cloud computing, and artificial intelligence are becoming a means of offering faster and more convenient and cost-effective financial services. The digital innovation could help SMEs to have easy access to finance in various routes.
This book identifies and develops ideas on how to utilize new technologies to promote SME finance. It could encourage financial institutions and investors to develop new credit risk analysis tools, increase credit supply, and encourage sustainable growth for SME sectors. In addition, the book explores the ways policy makers and market participants could maximize the benefits while mitigating potential risks arising from the new digital era. The messages are important for the public and private sectors in Asia.
- 1. How Digital Innovation Can Increase Small Business Access to Finance in Asia by Sean Creehan
- 2. How Open Banking Can Support Finance for SMEs by Julien Mahuzier
- 3. Application of Distributed Ledger Technologies to Improve Funding in the Startup Ecosystem by Naoyuki Yoshino and Farhad Taghizadeh-Hesary
- 4. Credit Risk Reduction Effect on SME Finance through the Use of Bank Account Information by Naoko Nemoto, Naoyuki Yoshino, Yutaka Ohkubo, Daimei Inaba, and Kentaro Yanagisawa
- 5. Role of the Credit Risk Database in Japan: Creation of New Economic Activity Indicators Through Dynamic Monitoring of Bank Accounts by Yutaka Ohkubo
- 6. Optimal Regulation of Peer-to-Peer Lending for SMEs by Naoko Nemoto, David Storey, and Bihong Huang
- 7. The Survival of SMEs in Thailand—New Challenges Posed by the Digital Economy and Financial Constraints by Suppaleuk Sarpphaitoon
- 8. The Role of Digital Payments Fintech in Accelerating the Development of MSMEs in Indonesia by Nika Pranata
- 9. A Proposal on the “i Bank Index”: A Measure of Banks’ Ability to Nurture Client Businesses by Kiyotsugu Yoshihara