Fintech Advancement

Development of fintech offers new solutions to companies to solve the challenges caused by the ongoing epidemic

- Ge Lijun

As the fight against the novel coro-navirus enters a critical period in China, ensuring the resilience of small and micro enterprises has become a crucial task for the authorities. Fortunately, impacted companies can now count on a new ally to get through this challenging time - fintech, namely new technologies applied to the financial sector.

In recent years, Chinese fintech 3.0, represented by technologies such as artificial intelligence, Big Data, cloud computing and blockchain, has transformed the development of Chinese society. In the near future, fintech is expected to play a significant role in ensuring stable funding for companies caught in the current extraordinary situation. Indeed, on January 31, the Beijing Local Financial Supervision and Administration issued a notice to strengthen financial support measures with fintech while promoting prevention and control of the epidemic.

Finance plus technologies

In fact, mitigating the financing difficulties of small and micro businesses is one of the main roles of fintech.

The new notice urges local financial institutions to offer more financial support to businesses by appropriately lowering interest rates and fees. These measures are intended for small and micro enterprises in the fields of production, distribution and transport of epidemic-prevention equipment, as well as enterprises in the fields of wholesale and retail, housing, catering, logistics and transport, and tourism and culture affected by the epidemic. According to the notice, there is a need to increase the use of technical tools to improve the security, convenience and availability of financial services through smart finance, mobile finance and online services.