IDEAS home Printed from https://ideas.repec.org/a/eee/joecas/v31y2025ics1703494924000483.html
   My bibliography  Save this article

Macroeconomic asymmetries and their influence on fintech ecosystem growth: A global and regional perspective

Author

Listed:
  • Ali, Hassnian
  • Aysan, Ahmet Faruk

Abstract

This study examines the asymmetric macroeconomic factors influencing the formation and growth of fintech ecosystems across 103 countries from 2005 to 2022, offering both global and regional perspectives. Using a fixed-effects negative binomial regression model as the primary methodology, the research identifies key macroeconomic drivers—such as GDP per capita, inflation, financial development, and real interest rates—whose impacts on fintech formation vary significantly across regions. Additionally, an adapted Asymmetric Error Correction Model (AECM) for count panel data is employed as a supplementary analysis to capture the differential effects of positive and negative changes in macroeconomic variables. The findings reveal how global crises, including the Global Financial Crisis (GFC) and the COVID-19 pandemic, have unevenly disrupted fintech growth, exposing regional vulnerabilities and opportunities. Europe's fintech expansion is primarily driven by investments in education and human capital, while Asia and the Gulf Cooperation Council (GCC) countries are more responsive to macroeconomic stability. In contrast, African fintech ecosystems rely heavily on financial development to foster growth. Robustness checks with lagged variables further validate the temporal effects of these drivers, emphasizing their long-term implications. By exploring the role of macroeconomic asymmetries in shaping fintech ecosystems, this study provides critical insights for policymakers and investors aiming to enhance resilience and foster sustainable growth tailored to the distinct economic environments of each region.

Suggested Citation

  • Ali, Hassnian & Aysan, Ahmet Faruk, 2025. "Macroeconomic asymmetries and their influence on fintech ecosystem growth: A global and regional perspective," The Journal of Economic Asymmetries, Elsevier, vol. 31(C).
    • Handle: RePEc:eee:joecas:v:31:y:2025:i:c:s1703494924000483
    DOI: 10.1016/j.jeca.2024.e00399
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1703494924000483
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.jeca.2024.e00399?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

    for a different version of it.

    References listed on IDEAS

    as
    1. Jerry Hausman, 2015. "Specification tests in econometrics," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 38(2), pages 112-134.
    2. Dimitrios Kolokas & Tom Vanacker & David Veredas & Shaker A. Zahra, 2022. "Venture Capital, Credit, and FinTech Start-Up Formation: A Cross-Country Study," Entrepreneurship Theory and Practice, , vol. 46(5), pages 1198-1230, September.
    3. Kassouri YACOUBA & Halil ALTINTAS, 2019. "The Asymmetric Impact of Macroeconomic Shocks on Stock Returns in Turkey: A Nonlinear ARDL Approach," Journal for Economic Forecasting, Institute for Economic Forecasting, vol. 0(2), pages 98-116, June.
    4. Ferilli, Greta Benedetta & Palmieri, Egidio & Miani, Stefano & Stefanelli, Valeria, 2024. "The impact of FinTech innovation on digital financial literacy in Europe: Insights from the banking industry," Research in International Business and Finance, Elsevier, vol. 69(C).
    5. Jeffrey M Wooldridge, 2010. "Econometric Analysis of Cross Section and Panel Data," MIT Press Books, The MIT Press, edition 2, volume 1, number 0262232588, December.
    6. Hess, Martin K., 2004. "Dynamic and asymmetric impacts of macroeconomic fundamentals on an integrated stock market," Journal of International Financial Markets, Institutions and Money, Elsevier, vol. 14(5), pages 455-471, December.
    7. Badi H. Baltagi, 2021. "Econometric Analysis of Panel Data," Springer Texts in Business and Economics, Springer, edition 6, number 978-3-030-53953-5, July.
    8. Chen, Xiaojie & He, Guangwen & Li, Qian, 2024. "Can Fintech development improve the financial inclusion of village and township banks? Evidence from China," Pacific-Basin Finance Journal, Elsevier, vol. 85(C).
    9. Shafiq Ur Rehman & Mustafa Al-Shaikh & Patrick Bernard Washington & Ernesto Lee & Ziheng Song & Ibrahim A. Abu-AlSondos & Maha Shehadeh & Mahmoud Allahham, 2023. "FinTech Adoption in SMEs and Bank Credit Supplies: A Study on Manufacturing SMEs," Economies, MDPI, vol. 11(8), pages 1-15, August.
    10. Shweta Jha & R. C. Dangwal, 2024. "Impact of fintech usages on financial inclusion initiatives: perspective from Urban slum dwellers of Uttarakhand," Journal of Chinese Economic and Business Studies, Taylor & Francis Journals, vol. 22(3), pages 329-358, July.
    11. Tsagkanos, Athanasios & Siriopoulos, Costas, 2015. "Stock markets and industrial production in north and south of Euro-zone: Asymmetric effects via threshold cointegration approach," The Journal of Economic Asymmetries, Elsevier, vol. 12(2), pages 162-172.
    12. Razzaq, Asif, 2024. "Impact of fintech readiness, natural resources, and business freedom on economic growth in the CAREC region," Resources Policy, Elsevier, vol. 90(C).
    13. Abebe Gule Girma & Fariz Huseynov, 2023. "The Causal Relationship between FinTech, Financial Inclusion, and Income Inequality in African Economies," JRFM, MDPI, vol. 17(1), pages 1-15, December.
    14. Pin Guo & Maoyong Cheng & Yue Shen, 2024. "FinTech adoption and bank risk-taking: evidence from China," Applied Economics Letters, Taylor & Francis Journals, vol. 31(7), pages 594-602, April.
    15. Kurmaş Akdoğan, 2015. "Asymmetric Behaviour of Inflation around the Target in Inflation-Targeting Countries," Scottish Journal of Political Economy, Scottish Economic Society, vol. 62(5), pages 486-504, November.
    16. Yang, Yuxue & Su, Xiang & Yao, Shuangliang, 2021. "Nexus between green finance, fintech, and high-quality economic development: Empirical evidence from China," Resources Policy, Elsevier, vol. 74(C).
    17. Dongxu Li & Erzhuo Liu & Yunwei Li, 2022. "Macroeconomic News and Risk Exposure to Foreign Exchange Rate Evidence from Chinese Listed Firms," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 58(10), pages 2783-2802, August.
    18. Awais, Minahil & Afzal, Ayesha & Firdousi, Saba & Hasnaoui, Amir, 2023. "Is fintech the new path to sustainable resource utilisation and economic development?," Resources Policy, Elsevier, vol. 81(C).
    19. Ya Bu & Xinghui Yu & Hui Li, 2023. "The nonlinear impact of FinTech on the real economic growth: evidence from China," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 32(8), pages 1138-1155, November.
    20. Christian Haddad & Lars Hornuf, 2019. "The emergence of the global fintech market: economic and technological determinants," Small Business Economics, Springer, vol. 53(1), pages 81-105, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Lisha Tang & Jingzhi Li & Chenmei Xie & Miao Wang, 2025. "Multi-Scenario Simulation of Ecosystem Service Value in Xiangjiang River Basin, China, Based on the PLUS Model," Land, MDPI, vol. 14(7), pages 1-22, July.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Tian Xiong & Kaan Celebi & Paul J. J. Welfens, 2022. "OECD countries’ twin long-run challenge: The impact of aging dynamics and increasing natural disasters on savings ratios," International Economics and Economic Policy, Springer, vol. 19(4), pages 741-759, October.
    2. Xiao, Anran & Xu, Zeshui & Skare, Marinko & Xiao, JingLin & Qin, Yong, 2024. "Unlocking the potential of FinTech: A pathway to sustainable resource management in the EU," Resources Policy, Elsevier, vol. 98(C).
    3. Jourdain C. Lokossou & Hippolyte D. Affognon & Alphonse Singbo & Michel B. Vabi & Ayoni Ogunbayo & Paul Tanzubil & Alcade C. Segnon & Geoffrey Muricho & Haile Desmae & Hakeem Ajeigbe, 2022. "Welfare impacts of improved groundnut varieties adoption and food security implications in the semi-arid areas of West Africa," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 14(3), pages 709-728, June.
    4. Alshubiri, Faris, 2021. "Financial deepening indicators and income inequality of OECD and ASIAN countries," The Journal of Economic Asymmetries, Elsevier, vol. 24(C).
    5. Norman E. Hutchison & Alla Koblyakova & Bryan D. MacGregor, 2024. "Equity Release Mortgages in the UK: Regional Characteristics of Demand and Supply," International Real Estate Review, Global Social Science Institute, vol. 27(4), pages 441-469.
    6. Hari Venkatesh & Jyoti Kumari & Gourishankar S. Hiremath & Hiranmoy Roy, 2021. "Foreign Institutional Investors: Fair-Weather Friends or Smart Traders?," Journal of Quantitative Economics, Springer;The Indian Econometric Society (TIES), vol. 19(2), pages 291-316, June.
    7. Campbell, Randall C. & Nagel, Gregory L., 2016. "Private information and limitations of Heckman's estimator in banking and corporate finance research," Journal of Empirical Finance, Elsevier, vol. 37(C), pages 186-195.
    8. Etienne Redor & Magnus Blomkvist, 2021. "Do all inside and affiliated directors hold the same value for shareholders?," Economics Bulletin, AccessEcon, vol. 41(3), pages 882-895.
    9. Baron, Opher & Callen, Jeffrey L. & Segal, Dan, 2023. "Does the bullwhip matter economically? A cross-sectional firm-level analysis," International Journal of Production Economics, Elsevier, vol. 259(C).
    10. Ali Uyar & Cemil Kuzey & Merve Kilic & Abdullah S. Karaman, 2021. "Board structure, financial performance, corporate social responsibility performance, CSR committee, and CEO duality: Disentangling the connection in healthcare," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 28(6), pages 1730-1748, November.
    11. Fan, Chenguang & Bae, Seongho & Liu, Yu, 2024. "Can FinTech transform corporate liquidity? Evidence from China," Innovation and Green Development, Elsevier, vol. 3(2).
    12. Arnd Kölling & Claus Schnabel, 2022. "Owners, external managers and industrial relations in German establishments," British Journal of Industrial Relations, London School of Economics, vol. 60(2), pages 424-443, June.
    13. Mitch Kunce, 2022. "The Tenuous Ecological Divorce and Unemployment Link with Suicide: A U.S. Panel Analysis 1968-2020," Journal of Statistical and Econometric Methods, SCIENPRESS Ltd, vol. 11(3), pages 1-2.
    14. Ali Uyar & Simone Pizzi & Fabio Caputo & Cemil Kuzey & Abdullah S. Karaman, 2022. "Do shareholders reward or punish risky firms due to CSR reporting and assurance?," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 43(5), pages 1596-1620, July.
    15. Nadjia Mehraban & Christoph Kubitza & Zulkifli Alamsyah & Matin Qaim, 2021. "Oil palm cultivation, household welfare, and exposure to economic risk in the Indonesian small farm sector," Journal of Agricultural Economics, Wiley Blackwell, vol. 72(3), pages 901-915, September.
    16. Woutersen, Tiemen & Hausman, Jerry A., 2019. "Increasing the power of specification tests," Journal of Econometrics, Elsevier, vol. 211(1), pages 166-175.
    17. Şeremet, Gülizar Gülcan & Konca, Murat, 2024. "Technical efficiency and its determinants in healthcare systems of underdeveloped countries," Evaluation and Program Planning, Elsevier, vol. 107(C).
    18. Liu, Jing & Lee, Monica & Gershenson, Seth, 2021. "The short- and long-run impacts of secondary school absences," Journal of Public Economics, Elsevier, vol. 199(C).
    19. Horst Feldmann, 2009. "The quality of the legal system and labor market performance around the world," European Journal of Law and Economics, Springer, vol. 28(1), pages 39-65, August.
    20. ElBannan, Mona A., 2017. "Stock market liquidity, family ownership, and capital structure choices in an emerging country," Emerging Markets Review, Elsevier, vol. 33(C), pages 201-231.

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    JEL classification:

    • E02 - Macroeconomics and Monetary Economics - - General - - - Institutions and the Macroeconomy
    • G23 - Financial Economics - - Financial Institutions and Services - - - Non-bank Financial Institutions; Financial Instruments; Institutional Investors
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D

    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:joecas:v:31:y:2025:i:c:s1703494924000483. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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: https://www.journals.elsevier.com/the-journal-of-economic-asymmetries/ .

    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.