Publication Type
Conference Paper
Version
acceptedVersion
Publication Date
8-2024
Abstract
This study examined the interaction effects of traditional bank lending and emerging fintech credit on economic growth in six ASEAN economies from 2013 to 2020. Using a two-way fixed effects (FE) model and the panel-corrected standard error (PCSE) method, the study found a statistically significant and positive interaction effect between bank lending and fintech credit. Specifically, fintech credit became increasingly important in shaping economic growth as bank lending ratios exceeded a certain threshold. Countries with high bank lending ratios experienced greater GDP per capita growth when accompanied by greater fintech credit. These findings suggest that policies supporting fintech development alongside traditional banking activities can promote economic expansion and reshape the relationship between bank lending and economic development.
Keywords
bank lending, fintech credit, economic growth, ASEAN economies, panel data analysis, fixed effects model, financial innovation, GDP per capita, financial inclusion, economic policy
Discipline
Finance
Research Areas
Macroeconomics
First Page
1
Last Page
21
Embargo Period
2-24-2025
Citation
TAN Swee Liang.
The interaction effects of fintech and bank lending on growth: Evidence from the ASEAN region. (2024). 1-21.
Available at: https://ink.library.smu.edu.sg/soe_research/2800
Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial-No Derivative Works 4.0 International License.
