whether they would ta ke o and revolutionize the world.
e short answer is no.
is paper takes a bit of a step back a nd proposes a
framework for thin king about how ntech could aect the
nancial sec tor and how regulation might need to respond. It
then applies that fra mework to gauging implications for cross-
border payments—a subject at the hear t of the IMF mandate.
Question 7: Clearly there are a lot of emerging issues that the
industry is still grappling with. With that in mind, how do you
see the IMF’s work on fintech evolving?
ere is potentially an enormous a mount of work to do in
think ing through various scenarios of ntech d evelopment
Fintech could aect any of t he ve key needs for nancial
services, a s seen from the perspective of end-users: paying,
saving, borrowing , managing risks, and get ting advice on
nancial ser vices. In this Sta Disc ussion Note, we tackled
only the subset of payments.
Future work will li kely focus on areas with the potential
for a signicant impact on na ncial stability and inclusion
and monetary polic y transmission.
Fintech’s effect on monetary polic y transmission has
generated an interesting debate, su mmarized in the
paper, on whether central bank s should introduce digita l
currencies. Would monetary polic y transmission change?
Would banks disappear? C ould privately issued vi rtual
currencies compete or possibly even do better t han
traditional cu rrencies? Would weak currencies—issued
by central bank s lacking credibility—disappea r? Would a
first mover’s currency become the new reser ve currency?
Who said economics was bori ng?!
IMF Economic Review
IMF Economic Review
is the ocial resea rch
journal of the Internationa l
Monetary Fund. e journa l
is dedicated to publishing
peer-reviewed, high qual ity,
context related academic
research that addresses
important policy quest ions.
Following is a listi ng of
articles featured i n the latest
issue of the journal:
Macroeconomic Eects of Capital Account Regulations
Bilge Erten and José Antonio Ocampo
Fiscal Devaluation in a Monetary Union
Philipp Engler, Giovanni Ganelli, Juha Tervala,
and Simon Voigts
Distributional Consequences of Fiscal Adjustments:
What Do the Data Say?
Jaejoon Woo, Elva Bova, Tidiane Kinda, and Y. Sophia Zhang
Shiing Motives: Explaining the Buildup in
Ocial Reserves in Emerging Markets Since the 1980s
Atish R. Ghosh, Jonathan D. Ostry, and
Charalambos G. Tsangarides
Do Borders Really Slash Trade? A Meta-Analysis
Tomas Havranek and Zuzana Irsova
Virtuous Circles and the Case for Aid
Patrick Carter and Jonathan R. W. Temple
Non-FDI Capital Inows in Low-Income Countries:
Catching the Wave?
Juliana D. Araujo, Antonio C. David, Carlos van Hombeeck,
and Chris Papageorgiou
To learn more about the journal and to view free a rticles
online, visit: htt p://www.springer.com/economics/