Sustainability, FinTech and Financial Inclusion

We argue that sustainable balanced development is preconditioned on financial inclusion, and that FinTech is the key driver for financial inclusion. In turn, the full potential of FinTech to support the Sustainable Development Goals will only be realized with a progressive approach to developing infrastructure to support digital financial transformation.

Our research suggests the best way to think about such a strategy is to focus on four primary pillars. The first pillar requires the building of digital identity and simplified account opening and e-KYC systems. This is supported by the second pillar of open interoperable electronic payments systems.The third pillar involves using the infrastructure of the first and second to underpin electronic provision of government services and payments. The fourth pillar – digital financial markets and systems – supports broader access to finance and investment. Implementing the four pillars is a major journey, but one with tremendous potential to transform financial inclusion and sustainable growth.

Keywords: Sustainable Investment, Sustainable Development Goals, Financial Inclusion, FinTech, Sustainability, RegTech, KYC

JEL Classification: K22, K23, O16, O33

Suggested Citation: Suggested Citation

Arner, Douglas W. and Buckley, Ross P. and Zetzsche, Dirk Andreas and Veidt, Robin, Sustainability, FinTech and Financial Inclusion (November 1, 2019). European Banking Institute Working Paper Series 2019/41, University of Luxembourg Law Working Paper No. 006-2019, UNSW Law Research Paper No. 19-63, University of Hong Kong Faculty of Law Research Paper No. 2019/038, European Business and Organization Law Review (Forthcoming), Available at SSRN: https://ssrn.com/abstract=3387359 or http://dx.doi.org/10.2139/ssrn.3387359