Russia's invasion of Ukraine triggered a rapid wave of sanctions, bringing challenges for financial services firms looking to stay compliant.
The international group of regulators called the Global Financial Innovation Network (GFIN) has expanded to 29 countries and is inviting...
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With 2.6 million people and the highest remittances in Africa, Nigeria is currently the 7th most populous country in the world.
Researchers from the University of Texas published a study Tuesday morning that claims fintech lenders who participated in the Paycheck Protection Program dropped the ball on underwriting.
Colorado passed a law this week that could have a dramatic effect on the ability of fintech lenders to do business in the state.
New government fintech initiatives are trending across the globe and the European Commission (EC) is one of the most recent regulatory agencies to add a fintech group; the EC is the governing regulator for the European Union; it has announced a Financial Technology Task Force (FTTF) to be co-chaired by DG FISMA and DG CONNECT; the FTTF will facilitate regulatory communication in the areas of financial regulation, digital business, competition and consumer protection. Source
In their recently completed review, the Financial Conduct Authority (FCA) was particularly worried about some platforms using customer money to buy loans from rival platforms; FCA CEO Andrew Bailey explained that platforms don't have enough loans to present so in turn they use investor money to buy up loans from a rival platform; this is worrisome as investors are not being told the correct risks; Mr. Bailey did not disclose any platforms by name and said the issue was not widespread but worth keeping an eye on. Source
This week, the Consultative Group to Assist the Poor (CGAP) proposes improvements to the loosely-regulated fintech sector in sub-Saharan Africa, particularly Kenya; CGAP is a global partnership of 34 leading organizations advancing financial inclusion; they note fintech companies may inappropriately publicize a borrower's personal information if they default on a loan, and others may sweep a user's social media data with minimal notice to the consumer; a key step, by law and proactive process, is to rigorously include all fintech platforms under existing laws for lenders in Kenya. Source
On June 13, the UK released its digital strategy paper looking at all growth areas such as intellectual property, leveling up, and talent.
PricewaterhouseCoopers' DeNovo team says transparency, credibility and evolving business models will be key factors for marketplace lending in 2017; increased disclosures and new solutions for data analytics are expected to help transparency while also improving confidence and credibility; new regulations will also be an important factor for the landscape overall, potentially creating new business requirements while also validating funding sources; the DeNovo team also cites potentially lower investment taxes from House Speaker Paul Ryan's "A Better Way" plan and expansion to broader lending categories as important for the new year; in 2017 funding disbursement is also expected to come from a wider range of sources with securitization in the lead; originations overall in 2016 are down 4.9% through September at $7.8 billion versus $8.2 billion in 2015 while securitizations have increased by 80% at $5.4 billion versus $3.0 billion in 2015 according to Orchard. Source