Financial Technologies and Sustainable Enterprise Development in Developing Economies

Enterprises in developing economies are experiencing the impacts of the rapid development of financial technologies (Fintech) due to the many changes and advances brought about in enterprises’ operations and financial management. Financial technology has revolutionized various enterprises’ activities, especially in dealing with financial and nonfinancial institutions, customers, trading, insurance, and risk management. The advent of technology-based financial innovations is utilized by enterprises in the production and trading sectors, as well as enterprises in the banking and insurance sectors, which also use financial technologies in their operations and product development. Technology-based financial products and services support both small and big businesses, including information and communication technology enterprises and start-ups. Leveraging emerging technologies such as artificial intelligence, data, edge computing, blockchain, and digital financial services to drive revenue, promote growth, and make enterprise products and services more accessible and efficient should be the focus of enterprises in developing economies. The changes in operations, activities, products, and services, from physical services to more advanced services based on digital technology, have changed people’s behavior regarding how enterprises in developing economies currently operate. The term financial technology contrasts with traditional finance, whereby technology is applied to develop and provide financial products and services. Especially the operations and marketing of financial products with the view of making the product easily and readily accessible to the customer, while at the same time reducing transaction costs without compromising the potential for competitive advantage against the existing financial system.