How has FinTech become a solution for minerals management?

Abstract

Effectively managing natural resources is crucial for ensuring sustainable economic development, a topic that has been widely debated in recent decades. While numerous discussions have focused on the use of technology to optimize the utilization of natural resources, the previous studies have yet to delve into the role of financial technology (FinTech) in minerals management and energy transition concerning the resource curse/blessing hypothesis. To address this research objective, this study valuably adds to the empirical literature by investigating the role of FinTech and energy transition in economic growth to manage minerals. To accomplish this goal, panel data of the top 10 resource-rich economies that range from 1990 to 2022 based on novel panel estimations such as Cross-sectional autoregressive distributive lag (CS-ARDL) and panel Granger non-causality (Juodis et al., 2021) is taken. The outcomes of the study discovered that FinTech is positively influencing GDP in both the long- and short-run. The robust outcomes further reveal that minerals management (coal, oil, minerals, and forests) becomes a part of enriching GDP to confirm the resources blessing theory. The study analysis sets down the practical implications of formulating sustainable economic development policies for stakeholders.