Peer-to-peer lending could help small firms find funds, but careful handling is needed

Summary: Small and medium-sized companies have trouble raising money and that’s a problem, since they account for a large part of the global economy. If there was a way to make it easier for them to get cash, everyone would benefit. Peer-to-peer lending could be one answer. P2P lending, as it is known, matches investors with individuals and companies looking for funds. It’s an internet-based process that is part of a booming field called financial technology, or fintech for short. Read the transcript https://bit.ly/2YljVzH Read the working paper https://bit.ly/2Yn5U4E About the authors Naoko Nemoto is a financial economist at the ADBI. David Storey is a graduate student of economics at the University of Warwick and former research associate at ADBI. Bihong Huang is a research fellow at ADBI. Know more about ADBI’s work https://bit.ly/2Y8aQuY https://bit.ly/32R3FpF