Technology Companies

Amazon  announced today that it had originated over $3 billion in loans to more than 20,000 small businesses since 2011. One billion of those loans came in the past 12 months. Peyush Nahar, VP for Amazon Marketplace, released a statement on the milestone;

The number of social media users worldwide has reached 2.34 billion and is expected to grow to ~2.95 billion by 2020. Social media users generate 500 million tweets every day, and share 1.3 million pieces of content on Facebook every minute of every day, not mentioning other widely adopted channels. Two things allowed social media to become a powerful machine: the level of engagement reached through scale, and permissions.

• In the last year alone, Citi, BBVA, Capital One and other major banks have opened their APIs to third party developers to innovate better and faster

• To truly be customer-first and prioritize the customer experience above all, banks should look to platforms as business models, not tech constructs

The financial technology (FinTech) field grew and developed rapidly as a response to the financial problems we face, from making financial information more accessible to addressing the lack of financial inclusion in various countries. Small and medium-sized enterprises (SMEs), in particular, can benefit from the digital solutions offered by FinTech.

The strength of every nation’s economy is usually a direct reflection of the viability of the Small and Medium scale Enterprise (SME) sector.

The impact of SMEs on the Gross Domestic Product (GDP) of nations cannot be over-emphasized. In most cases, especially developing countries, SMEs account for as much as 35-40% of the total GDP.

Differing regulatory standards among various jurisdictions are hindering the development of financial technology (fintech) in Asia, according to a Hong Kong-based financial lobby group.

While the rapid evolution and development of fintech provide enormous potential for increased productivity and efficiencies in the way financial services are delivered, it also creates challenges for regulators around the region, the Asia Securities Industry and Financial Markets Association (ASIFMA) says.

The rapid evolution and development of Fintech is dramatically changing the face of the financial services industry, and offers the potential for increased productivity and efficiencies in the way financial services are delivered. It has also challenged policymakers worldwide as they develop regulatory responses that strike a balance between promoting innovation, maintaining the resiliency of the financial system and ensuring consumers are protected. Further, the explosive emergence of 'big data' and artificial intelligence has amplified concerns around data privacy and cybersecurity.

During the past 10 years, the US, the UK and China have seen a rapid expansion of what has come to be called “alternative lending” – non-bank lenders using digital platforms to serve distinct niches such as consumers and SMEs, which have been ignored by conventional lenders. In these environments with rich data sets and developed capital markets, much of the funding for alternative credit has come from institutional or accredited investors who are treating these loans as a new asset class.

SME lender Sancus Finance has launched a new platform targeted at investors looking to finance businesses online.