WSEAS Transactions on Business and Economics
Print ISSN: 1109-9526, E-ISSN: 2224-2899
Volume 20, 2023
The Impact of International Economic Sanctions on the Use of Financial Technologies
Authors: , , , ,
Abstract: The aim of this study was to elaborate a conceptual approach to the development of financial technologies under the impact of restrictions imposed by international economic sanctions. The development of this sector was analyzed based on empirical studies of available information on the state of the FinTech sector in 28 countries that are impacted by international economic sanctions, using the Global Sanctions Database presented by OFAC (Office of Foreign Assets Control). The research involved comprehensive research methods: situational analysis, system analysis, reproductive analysis, structural and functional analysis. The results of the study confirmed the main hypothesis: international economic sanctions do not block the development of financial technologies, as FinTech can ensure the development of the financial sphere of sanctioned countries because of its flexibility and mobility. The calculations proved that depending on the way of combining the internal perception of external restrictions imposed by the sanctions, which is unique for each country, international economic sanctions are a stimulator for some countries (China, Ukraine, Iran), while being a significant development blocker (r=0.896) for others (with a financial technology performance less than 1). This study will be useful not only to scholars who deal with the theoretical and methodological framework of the development of the financial sector of countries subject to sanctions.
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Keywords: Development, digital technologies, financial technologies, global environment, sanctions restrictions, start-up
Pages: 682-693
DOI: 10.37394/23207.2023.20.63