[go: up one dir, main page]
IDEAS home Printed from https://ideas.repec.org/p/wbk/wbrwps/10603.html
   My bibliography  Save this paper

Digital Payments and the COVID-19 Shock : The Role of Preexisting Conditions in Banking, Infrastructure, Human Capabilities, and Digital Regulation

Author

Listed:
  • Cull,Robert J.
  • Foster,Vivien
  • Jolliffe,Dean Mitchell
  • Lederman,Daniel
  • Mare,Davide Salvatore
  • Veerappan,Malarvizhi
Abstract
Treating data collected pre- and post-COVID-19 as a quasi-experiment, this paper examines the importance of presumed enablers and safeguards in driving the observed expansion of digital payments and digital financial inclusion. The analysis interacts drivers of digital payment usage with a country-specific proxy of the severity of the COVID-19 shock, leveraging variation in both the drivers and the quasi-treatment (the COVID-19 shock) to identify the parameters. Although regulation of banks and digital economic activity were correlated with digital payments before and during the pandemic, the capabilities of users and connectivity (to electricity, the internet, and mobile telephony) were responsible for increased use of digital financial services in response to the shock. An interpretation is that governments and the private sector were able to overcome underdeveloped banking systems and weak regulation of the digital economy, but only where there was adequate digital infrastructure, connectivity, and a high share of the population that understood and could make use of digital payments.

Suggested Citation

  • Cull,Robert J. & Foster,Vivien & Jolliffe,Dean Mitchell & Lederman,Daniel & Mare,Davide Salvatore & Veerappan,Malarvizhi, 2023. "Digital Payments and the COVID-19 Shock : The Role of Preexisting Conditions in Banking, Infrastructure, Human Capabilities, and Digital Regulation," Policy Research Working Paper Series 10603, The World Bank.
    • Handle: RePEc:wbk:wbrwps:10603
    as

    Download full text from publisher

    File URL: http://documents.worldbank.org/curated/en/099454311132327828/pdf/IDU08c76166f0dda20435909e82051f6aa962419.pdf
    Download Restriction: no
    ---><---

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wbk:wbrwps:10603. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Roula I. Yazigi (email available below). General contact details of provider: https://edirc.repec.org/data/dvewbus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.