The Evolution of FinTech in Emerging Markets: The Effect of FinTech Adoption on Remittances

Abigia Hailu Balcha

Studenteropgave: Kandidatafhandlinger


FinTech is disrupting various areas of financial services and redefining how the market is served. Remittance services are also being transformed by FinTech solutions that are faster and cheaper. Remittance payments are significant for emerging markets economies. This thesis explores the remittances sector in emerging markets context to understand the characteristics of the market and observe success factors for FinTech implementation. The study focuses on three areas: remittance cost reduction, promoting FinTech adoption, and increasing financial inclusion. It analyzes six country mini cases from the top remittance recipient regions, to observe the impact FinTech adoption has on remittance cost and financial inclusion. It highlights factors like infrastructure development, regulation environment, financial intermediaries, compliance requirements, and technology simplicity that are affecting FinTech adoption. It also explores the role of traditional financial institutions in the FinTech ecosystem and how the financial sector can reach the unbanked segment in emerging markets. It observes trends in the case countries and generates insight based on facts, which is useful for FinTech companies implementing their solutions in emerging markets and for regulators wanting to create a conducive environment for FinTech growth. FinTech challengers need to adjust their solutions to serve the market by utilizing the infrastructure available. Regulators need to govern the financial industry without restricting innovation in the sector. The thesis demonstrates the impact of FinTech on the remittance industry Business Administration and Information Systems, (Kandidatuddannelse) Afsluttende afhandling
Antal sider61
VejledereRobert J. Kauffman