A Global Review of Banks, Fintechs and SMEs
A new report by Fraedom reveals banks are working to address SMEs globally. According to the report, 61 percent of senior executives in the banks view SMEs as their current biggest growth opportunity, with a strong bias towards the medium enterprises (50-249 employees). Fintechs are also stepping up and becoming a catalyst for growth for SMEs, they are providing them with access to proper funding.
The report covered:
- How fintechs help banks drive efficiencies for smaller businesses: Fintechs can provide the technology banks can use to streamline financial management processes.
- The digital needs of SMEs: SMEs value real-time accessibility, access to online and mobile banking and online, fast turnaround specifically relating to problem rectification, credit applications, account balance and fee enquiries.
- Helping banks speak their customers’ language: Partnering with fintech providers allows banks to tap into the rewards of successful innovation without taking the risky, time-consuming step of going it alone.
- SMEs in the Asia-Pacific (APAC) are experiencing growth: 95-99 percent of business establishments in these countries are occupied by SMEs, they are responsible for more than 70 percent of the workforce and their GDP contributions range from 23 to 58 percent.