FinTech, economic growth and COVID-19: International evidence

Abstract

The growth of financial institutions is typically considered to be a factor that contributes to the expansion of the economy. The use of financial technology by institutions of finance has resulted in changes to the delivery of financial services, which in turn has an effect on the growth of the economy. However, the epidemic has caused a disruption in the demand and supply of goods around the globe, which has had a detrimental impact on the economy. However, it is worthwhile to investigate if the global economic slump created by the pandemic might have a beneficial influence on the national economy as a consequence of the introduction of innovative technologies. This would be the case if the epidemic caused the recession. This study, which examines the link between financial technology and national economies throughout the pandemic, is based on a cross-country examination of a sample spanning the years 2018 through 2021 and 193 nations. The study was conducted. The findings suggests that financial technology played an important part in reducing the severity of the pandemic's subsequent impact on the economy.