Financial technologies paving a bright new path for the world’s unbanked population

Abstract: FinTech play a pivotal role in facilitating access to financial products and services. At the moment, the country characteristics that facilitate the use of FinTech are not adequately identified in the literature. This paper attempts to contribute to the understanding of which country characteristics facilitate the use of FinTech and how FinTech can drive sustainable economic development. Based on a sample of 62 developing countries, the 3SLS regression results find a positive effect of the quality of infrastructure and business ecosystem on the use of FinTech. Moreover, the results provide support for a positive significant effect of use of FinTech on financial inclusion and of financial inclusion on sustainable economic development. These findings provide new insight into which country conditions influence the use of FinTech and how improvements in the use of FinTech do affect the level of sustainable economic development.