The role of technology

Many of the challenges that face MSMEs in their search for financing are broad in scope and cannot easily be addressed by any single solution. As one of the fintech respondents [*22 Fintech] observes, “It is easy to say that technology is the answer here, and while innovation will help banks distribute trade finance assets to smaller investors and better understand the risks associated with MSMEs, there is also a greater change needed”. At this early stage of the adoption of such technological innovation, there is very little evidence to suggest that it is being utilized by corporates and MSMEs just yet. That said, it is difficult to dispute that technological innovation and the various emerging technologies in the industry are a critical piece in the puzzle of overcoming these challenges.