Technology is generating dramatic changes in the financial landscape of developing countries
One of the major obstacles to economic growth in developing countries is lack of access to banking services and credit. Some 1.7 billion people in the developing world do not have access to a bank account.
However, thanks to innovative financial technologies riding on the mass roliferation of smartphone devices and internet-connected data services, the number of unbanked people has fallen by hundreds of millions over the past few years and the World Bank has launched a Universal Financial Access initiative.
The rapidly changing financial landscape in low- and middle-income countries is expanding financial inclusion as people adopt technological alternatives to traditional banking such as mobile money accounts. It is also creating opportunities for innovative Fintech companies to operate in frontier markets where they have room to grow rapidly unconstrained by legacy infrastructures and archaic regulations.
Israel’s Fintech sector has emerged as a front-runner in innovative financial technologies as well as in connected fields such as artificial intelligence and big data. Israel has hundreds of companies operating in the Fintech field, from startups to multi-billion-dollar companies, and has attracted billions of dollars in investments thanks to its expertise in big-data and real time analytics, blockchain technologies, AI and cloud services. The transition to a cashless digital financial landscape also creates a need for solutions to secure and safeguard the integrity of digital financial systems.
The heightened need for Cybersecurity in the Fintech arena in developing countries creates further opportunities for Israeli technology companies who have emerged as world leaders in the field.
IMPROVATE brings Fintech know-how that will assist developing countries in creating entrepreneurial communities and generating economic growth and prosperity in the developing world, while connecting companies in the field with a rapidly growing market expected to reach a global value of $460 billion by 2025.