HOW ARE NEW FINANCING MODELS RESHAPING THE GEOGRAPHY OF INNOVATION IN EMERGING MARKETS

The discussion explores how new financing models are reshaping innovation in emerging markets. It highlights the democratization of information and products, which creates opportunities for small businesses to grow. Established banks like Citibank focus on middle and large markets, leaving a gap for smaller businesses that new models can fill. Examples include companies like Digit and Galgo, which use technology to offer financial services efficiently. The conversation also touches on the challenges of risk assessment in a rapidly changing world, emphasizing the need for local understanding and regulatory frameworks. The role of technology, particularly AI, is debated, with some seeing it as more bark than bite. The discussion concludes with predictions about the future of financing in emerging markets, including the rise of non-banking financial institutions and local capital.