FinTech's Asymmetric Catalysis of International Trade Flows by Industry Level

This study examines how financial technology (fintech) affects international trade using a structural gravity model with data from 128 countries (2014–2022). Estimated via Poisson Pseudo-Maximum Likelihood (PPML) with comprehensive fixed effects, results show that a one-unit increase in fintech development boosts international manufacturing trade by 328.9% and agricultural trade by 30.6% relative to domestic trade. Robustness checks confirm findings across alternative measures. These results underscore digital financial inclusion's critical role in reducing cross-border trade barriers, suggesting that fintech-promoting policies can significantly enhance global trade competitiveness, particularly in manufacturing and high-tech sectors.