IDEAS home Printed from https://ideas.repec.org/p/imf/imfwpa/2023-020.html
   My bibliography  Save this paper

Fintech Payments in Public Financial Management: Benefits and Risks

Author

Listed:
  • Gerardo Uña
  • Alok Verma
  • Majid Bazarbash
  • Ms. Naomi N Griffin

Abstract

Fintech payments leverage large digital platforms to fill gaps in the traditional payment system. They have made great strides in increasing access to payment services in several countries around the globe. At the same time, like any innovation, the new payment models are exposed to risks in their operating environment. We review the main fintech payment models (mobile money, internet-based fintech payment, and digital money) and discuss operational and financial risks as well as challenges they face. We then explore how public financial management (PFM), especially treasury payments and non-tax revenue collections, could benefit from fintech payments by providing examples of early fintech applications in different countries and discuss the challenges of integrating them into the public sector. The use of fintech in public finance could bring various benefits—including strengthening fiscal transparency, improving budget planning and execution, and upgrading cash management—if public sector institutional and technological capacities are strengthened and risks are adequately mitigated.

Suggested Citation

  • Gerardo Uña & Alok Verma & Majid Bazarbash & Ms. Naomi N Griffin, 2023. "Fintech Payments in Public Financial Management: Benefits and Risks," IMF Working Papers 2023/020, International Monetary Fund.
    • Handle: RePEc:imf:imfwpa:2023/020
    as

    Download full text from publisher

    File URL: http://www.imf.org/external/pubs/cat/longres.aspx?sk=529100
    Download Restriction: no
    ---><---

    Citations

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


    Cited by:

    1. Stefanos Balaskas & Maria Koutroumani & Kiriakos Komis & Maria Rigou, 2024. "FinTech Services Adoption in Greece: The Roles of Trust, Government Support, and Technology Acceptance Factors," FinTech, MDPI, vol. 3(1), pages 1-19, January.

    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:imf:imfwpa:2023/020. 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: Akshay Modi (email available below). General contact details of provider: https://edirc.repec.org/data/imfffus.html .

    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.