The Role of Fintech in Mitigating Information Friction in Supply Chain Finance
| dc.contributor.author | ADB; Lee, Hsiao-Hui; Yang, S. Alex; Kim, Kijin | |
| dc.date.accessioned | 2021-10-05T15:04:30Z | |
| dc.date.available | 2021-10-05T15:04:30Z | |
| dc.date.issued | 2019-12 | |
| dc.description | This paper examines how financial technology (fintech) reduces “information friction” to help close financing gap in the supply chain by lowering the probability of a good firm being misclassified as bad. Recent advances in fintech, such as blockchain and artificial intelligence, could help improve the efficiency of supply chain finance. “Double marginalization” makes a bank’s optimal fintech investment level lower than the socially optimal level. This calls for mechanisms to incentivize or complement banks’ investment in fintech. | |
| dc.format.extent | 34 | |
| dc.identifier.isbn | N/A | |
| dc.identifier.isbn | N/A | |
| dc.identifier.issn | N/A | |
| dc.identifier.issn | N/A | |
| dc.identifier.uri | https://www.adb.org/publications/role-fintech-supply-chain-finance | |
| dc.identifier.uri | https://hdl.handle.net/20.500.14540/5525 | |
| dc.subject.other | Finance sector development | |
| dc.subject.other | Financial technology | |
| dc.subject.other | SME lending | |
| dc.subject.other | Trade finance | |
| dc.title | The Role of Fintech in Mitigating Information Friction in Supply Chain Finance | |
| local.publication.country | Regional - Asia and the Pacific - Asia and Pacific |