IDEAS home Printed from https://ideas.repec.org/a/eee/finlet/v58y2023ipas1544612323006724.html
   My bibliography  Save this article

The impact of open banking on traditional lending in the BRICS

Author

Listed:
  • Fang, Jianyu
  • Zhu, Jialiang

Abstract

This study examines the influence of open banking regulation on traditional bank loans in the emerging markets of the BRICS—Brazil, Russia, India, China, and South Africa. Utilizing bank-level and individual-level data, the paper reveals that the introduction of open banking significantly diminishes consumer loan lending by traditional banks. Additionally, consumer propensity to acquire loans from traditional banks decreases. The research provides empirical evidence of how open banking impacts both the supply and demand sides of individual loans from traditional banks. This paper contributes to the literature by highlighting the unique role of open banking in promoting financial inclusion in emerging economies.

Suggested Citation

  • Fang, Jianyu & Zhu, Jialiang, 2023. "The impact of open banking on traditional lending in the BRICS," Finance Research Letters, Elsevier, vol. 58(PA).
    • Handle: RePEc:eee:finlet:v:58:y:2023:i:pa:s1544612323006724
    DOI: 10.1016/j.frl.2023.104300
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1544612323006724
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.frl.2023.104300?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    Keywords

    Open banking; BRICS; Consumer loans;
    All these keywords.

    JEL classification:

    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
    • G28 - Financial Economics - - Financial Institutions and Services - - - Government Policy and Regulation
    • D14 - Microeconomics - - Household Behavior - - - Household Saving; Personal Finance

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:finlet:v:58:y:2023:i:pa:s1544612323006724. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/frl .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.