FinTech and ESG : A Happy Union?

Abstract

This chapter provides the reader with an overview of the emergent Environmental, Social and Governance (ESG) FinTech landscape detailing the extent to which ESG factors are beginning to become important considerations for the FinTech sector. Despite global interest in these important issues, very little attention has been paid on the potential of FinTech. Utilising an ESG framework, this chapter discusses the huge, untapped potential of FinTech to exert a major impact, inter alia through use of sophisticated and large datasets, and the application of cutting-edge statistical techniques, such as artificial intelligence (AI) and innovative uses of blockchain technologies. This chapter explores the extent of current links between ESG and FinTech, and it outlines potential future directions in which FinTech can play a leading role on helping practitioners, firms, policymakers and wider stakeholders in working to achieve a sustainable, climate-friendly and well-governed future.