,
4 tweets,
4 min read
Read on Twitter
New research uses detailed data from two #BigTech lenders - China’s @AntFinancial and Latin America’s @Mercadolibre - to examine the forces behind big technology firms’ entry into finance & to test their information advantage. It finds… bis.org/publ/work779.h… 
1) BigTech participation in financial services is small, but growing. #BigTech firms are more active lenders in countries with less competitive banking sectors and less stringent regulation bis.org/publ/work779.h…
2) Is there is a #BigTech advantage? Do big data and machine learning outperform credit bureau ratings in terms of predicting loss rates on loans? #AI bis.org/publ/work779.h…
3) Borrowers may benefit from #BigTech credit: The authors examine evidence from small businesses lending in Argentina and China bis.org/publ/work779.h…
