Industry 4.0 in Finance: The Impact of Artificial Intelligence (AI) on Digital Financial Inclusion

Artificial intelligence, financial services knowledge, government support, and user innovativeness: Exploring the moderated-mediated path to fintech adoption

Based upon an extended Technology Acceptance Model (TAM), this study aims to investigate the impact of financial services knowledge, familiarity with the use of artificial intelligence, government support, and user innovativeness on Fintech adoption from the perspective of university students. Furthermore, the study also aims to investigate the mediating role of user innovativeness in this relationship. A cross-sectional, survey-based method was used to collect data from 410 university students. Structural equation modeling was implied to examine the research framework of the study. The findings confirm that financial services knowledge, familiarity with artificial intelligence, government support, and user innovativeness have a direct positive impact on Fintech adoption among university students. The results also show that perceived ease of use slightly moderates the relationship between government support and user innovativeness. Meanwhile, results from the mediation analysis reveal an indirect effect of these variables on Fintech adoption through user innovativeness. The study's findings recommend practical suggestions to academic institutes and Fintech service providers to equip university students with the necessary financial knowledge and familiarity with artificial intelligence across various disciplines, which can be achieved through sufficient government support. All these can potentially revolutionize Fintech services adoption and boost economic growth, specifically in Asia-Pacific developing countries. The study identifies the key antecedents that affect the student's decision to adopt Fintech. It widens the scope of Fintech adoption by considering the university students who may serve as the future managers for the nation. It provides nuanced evidence on the role of financial services knowledge and familiarity with the use of artificial intelligence on the intention to adopt Fintech among university students in Asia-Pacific developing countries like Pakistan.

Exploring the path of digital governance of urban industrial pollution: empirical evidence from 280 cities in China

Urban industrial pollution plays a dominant role in environmental pollution in China. Exploring the digital governance path of urban industrial pollution can provide strong support for improving environmental quality. This article empirically investigates the role and path of digitalization in the governance of urban industrial pollution from three dimensions: economic scale, structural scale, and technological scale. The results show that there is an inverted "U"-shaped relationship between digitalization and urban industrial pollution, with initial promotion followed by suppression. Among them, economic scale, industrial transformation and upgrading, and green innovation are the paths for digital governance of urban industrial pollution. In addition, there is a chain path of "green innovation-industrial transformation and upgrading" between the two. Through spatial Durbin model and regional heterogeneity analysis, it is found that digitalization has a spatial spillover effect on urban industrial pollution control, and eastern regions, regions with high economic development level and industrialized cities benefit more from digital urban industrial pollution control. The research conclusions of this article provide references for the Chinese government to formulate relevant policies, deepen the integration of digitalization and urban industrial pollution, and promote digital governance of urban industrial pollution.

The role of big data in financial technology toward financial inclusion

In the rapidly evolving landscape of financial technology (FinTech), big data stands as a cornerstone, driving significant transformations. This study delves into the pivotal role of big data in FinTech and its implications for financial inclusion. Employing a comprehensive literature review methodology, we analyze diverse sources including academic journals, industry reports, and online articles. Our findings illuminate how big data catalyzes the development of novel financial products and services, enhances risk management, and boosts operational efficiency, thereby fostering financial inclusion. Particularly, big data's capability to offer insightful customer behavior analytics is highlighted as a key driver for creating inclusive financial services. However, challenges such as data privacy and security, and the need for ethical algorithmic practices are also identified. This research contributes valuable insights for policymakers, regulators, and industry practitioners, suggesting a need for balanced regulatory frameworks to harness big data's potential ethically and responsibly. The outcomes of this study underscore the transformative power of big data in FinTech, indicating a pathway toward a more inclusive financial ecosystem.

Financial big data management and intelligence based on computer intelligent algorithm

With the acceleration of China's economic integration process, enterprises have gained greater advantages in the fierce market competition, and gradually formed the trend of grouping and large-scale. However, as the scale of the company increases, the establishment of a branch also causes many problems. For example, in order to obtain more benefits, the business performance of the company can generate false growth, resulting in financial and operational risks. This paper analyzed the current situation and needs of enterprise financial control from two aspects of theory and practice, combined with specific engineering projects, taking ZH Group as an example, according to the actual situation of the enterprise. The article first introduces the basic situation of the enterprise; Then, the financial control strategy was designed, and different modules were designed to achieve financial control; Afterwards, use a reverse neural network to evaluate the effectiveness of financial management and risk warning; Relying on particle swarm optimization algorithm to seek the optimal solution and applying it to financial management and risk warning, in order to improve the level of introspection and risk management in decision-making. Finally, the value of computer intelligence algorithms in financial big data management is evaluated by constructing a financial risk indicator system. Through the analysis of enterprise financial management, the total asset turnover rate of ZH Group decreased by 0.39 times in 5 years. After 5 years of adjustment of the company's business, the company's overall operational capabilities still needed to be improved, and the company's comprehensive business capabilities also still needed to be improved. Therefore, the application of intelligent algorithms for financial control is very necessary.

Industrial technology progress, digital finance development and corporate risk-taking: Evidence from China's listed firms

Industrial technological progress, as an essential industrial-technological and institutional phenomenon, brings with it the possibility of high profits for firms but also implies new norms and rules of competition, which affect the willingness and propensity of firms to bear the costs of undertaking venture capital projects. This study empirically investigates the causal impact of industrial-technological progress on corporate risk-taking and the mechanism of digital financial growth on the relationship between the two, based on data from China's A-share listed businesses from 2011 to 2020. This paper finds that (1) industrial technological progress improves enterprise risk-taking levels. Moreover, digital financial development has an incentive effect on industrial technological progress and enterprise risk-taking levels. (2) Industrial technological progress under digital financial development generates financing constraint relaxation effects, input capital return enhancement effects, and innovation performance incentive effects, increasing enterprise risk-taking. (3) The positive moderating effect of digital financial development on the relationship between industrial technological progress and the risk-taking level of enterprises in the eastern regions and enterprises in the high-tech industry is more prominent. The study's findings provide a theoretical foundation and policy insights on the crucial elements of industrial-technological progress and enterprises' increased ability to take risks throughout the development of digital finance.

Does digital economy curb carbon intensity? New insights from China

China is in the period of vigorously developing the "digital economy" and "low-carbon economy," facing the double pressure of realizing the "dual-carbon" target and maintaining stable economic growth. This paper tests the role of the digital economy (DIEC) in the process of carbon emission reduction for the advancement of low carbon economy based on this issue from the perspective of carbon intensity (CI) by constructing a fixed effects and mediation effects model using data from 30 areas from 2011 to 2021. The study results show that at the national level, the advancement of DIEC significantly inhibits CI, and the conclusion still holds after various robustness tests. From the geographic region level, the suppression of CI by digital economic advancement has the most substantial impact in the central region. Although the eastern and western areas have similar results, the significance level is higher in the east region. When considering the economic development level, the impact of DIEC on CI is more significant in areas with lower economic development than those with higher economic growth. In analyzing the path of the DIEC affecting CI, it is found that the DIEC mainly inhibits CI by promoting technological advancement and reducing energy consumption intensity.

Women's financial literacy: A bibliometric study on current research and future directions

This study undertakes a bibliometric and content analysis on women's financial literacy. The purpose of a bibliometric research on financial literacy and women is to carefully evaluate and quantify the body of literature on this subject. It attempts to identify trends, research gaps, significant authors, and essential ideas, offering a thorough overview that might direct future research and policy activities to increase women's financial literacy and well-being. The data extraction commenced in January 2023 with a thorough criteria search for articles, which includes inclusion and exclusion criteria using Web of Science Core database, resulting in 312 articles, published between 1998 and 2022. Biblioshiny application as well as the VOSviewer software for network visualization of keywords and bibliographic coupling is used. Based on the outcomes of the scientific bibliographic coupling, dominant themes were identified - "Global Financial Literacy: Addressing Disparities and Enhancing Education", "Addressing gender gap in financial inclusion and personal finance behaviour", "Empowerment through Financial Literacy: Overcoming the Manacles of Domestic Violence" and "Women's retirement planning and preparedness". Future research in this area could examine global gender differences in financial literacy, implement targeted financial education interventions, incorporate financial literacy and economic empowerment into domestic violence policies, investigate factors influencing women's retirement planning, and advance gender equality and financial well-being globally. The outcome from the future research is anticipated to assist regulatory bodies, government agencies and non-profit organization in enhancing existing regulations (specifically for women) and provide the platform for a sustainable wealth management and well-being program for women.

Artificial Intelligence and Economic Development: An Evolutionary Investigation and Systematic Review

In today’s environment of the rapid rise of artificial intelligence (AI), debate continues about whether it has beneficial effects on economic development. However, there is only a fragmented perception of what role and place AI technology actually plays in economic development (ED). In this paper, we pioneer the research by focusing our detective work and discussion on the intersection of AI and economic development. Specifically, we adopt a two-step methodology. At the first step, we analyze 2211 documents in the AI&ED field using the bibliometric tool Bibliometrix, presenting the internal structure and external characteristics of the field through different metrics and algorithms. In the second step, a qualitative content analysis of clusters calculated from the bibliographic coupling algorithm is conducted, detailing the content directions of recently distributed topics in the AI&ED field from different perspectives. The results of the bibliometric analysis suggest that the number of publications in the field has grown exponentially in recent years, and the most relevant source is the “Sustainability” journal. In addition, deep learning and data mining-related research are the key directions for the future. On the whole, scholars dedicated to the field have developed close cooperation and communication across the board. On the other hand, the content analysis demonstrates that most of the research is centered on the five facets of intelligent decision-making, social governance, labor and capital, Industry 4.0, and innovation. The results provide a forward-looking guide for scholars to grasp the current state and potential knowledge gaps in the AI&ED field.

Block chain technology for digital financial inclusion in the industry 4.0, towards sustainable development?

There is a lot of hope that blockchain technology may be used to standardize money transactions and increase access to banking. It is believed that regulators and industry professionals have looked into the possibility of using blockchain technology to modernize and even replace the infrastructure that currently supports international payments and remittances, such as correspondent banking, in order to ensure that transactions can be verified and recorded using blockchain technology in a distributed ledger. The purpose of this study was to analyze how blockchain technology has helped to include previously underserved populations in the mainstream financial system, and to remark on the best practices and lessons learned from sustainable development. Using a systematic literature review, the study discovered the many ways in which blockchain technology can facilitate digital financial inclusion, including its application in financial transactions, its utility as a tool for increasing financial savings, its use in the provision of credit, and its application in the provision of insurance. According to the findings, even though the global goals do not specifically target financial inclusion, providing access to financial services for the majority of the population is a critical enabler for several of the global goals. Therefore, the study concluded that sustainable development can be ensured on many fronts if the technology behind blockchains can be successfully used to improve financial inclusion. If governments, especially in developing countries, are serious about increasing citizens’ access to financial services, they must prioritize blockchain investment.

Adoption of artificial intelligence in financial services: a policy framework

Purpose

A crucial contemporary policy question for financial service organizations of being resilient across the globe calls for rethinking and renovating by adopting and adapting to the technologies of artificial intelligence (AI). The purpose of this study is to propose a policy framework for adoption of AI in the finance sector by exploring the driving factors through systems approach.

Design/methodology/approach

Based on literature review and discussions with experts from both industry and academia, nine enablers were shortlisted, which were used in the questionnaire survey to determine ranks of enablers. Further, the study developed the interpretive structural model (ISM) with the help of experts.

Findings

The ISM digraph developed with the help of the experts, resulted in the enablers like anticipated profitability, contactless solutions, credit risk management and software vendor support as dependent factors and stood at the top of the ISM. On the other hand, factors like availability of the data, technical infrastructure and funds are the most driving factors, which lie on the bottom of the ISM.

Research limitations/implications

The study provides implications and policy recommendations for the practicing managers and government agencies approaching the digital transformation towards the adoption of AI in the finance ecosystem.

Originality/value

The paper uses the systems approach for the development of the ISM of the enabling factors for the adoption of AI technology. On the basis of the results, the study proposes a policy framework to accelerate the functioning of the finance ecosystem with AI technology.

The nexus between digital finance and carbon emissions: Evidence from China

Finance is significant support for the low-carbon transformation of the real economy, in which digital finance as a new direction of financial development exerts a significant influence on carbon emissions. Therefore, it is crucial to investigate the association between digital finance and carbon emissions in order to develop carbon reduction strategies from the financial side. For this purpose, using the sample set covering 30 provincial areas during 2011–2020, this paper investigates the direct, indirect, and non-linear effects of digital finance on carbon emissions by applying fixed effects, mediating effects, and threshold effects analysis techniques. The results indicate that: (1) digital finance can significantly mitigate carbon emissions at the national level. (2) Digital finance inhibits carbon emissions as it drives green technological innovation and industrial structure upgrading. (3) Significant regional heterogeneity is observed in the effect of digital finance on carbon emissions, i.e., the effects of digital finance on carbon emissions are higher in the east-central region than in the overall sample, while the opposite is true in the western region. (4) The dampening effect on carbon emissions steadily increases as digital finance levels cross the first and second thresholds, respectively. Based on the above considerations, policymakers shall not only develop differentiated digital finance initiatives, but shall also fully unleash carbon emission reduction potential by rationalizing and optimizing industrial layout and strengthening financial subsidies for green technology innovation.

Digital Financial Inclusion, Digital Financial Services Tax and Financial Inclusion in the Fourth Industrial Revolution Era in Africa

The digital economy has risen dramatically in the global environment, and many developing countries, including African countries, have seen a spike in digital activity over recent years. The digital economy’s growth has resulted in an increase in digital financial services (DFS) in Africa and other developing regions. Since many African countries are under pressure to raise domestic revenue, taxing the digital economy has become a viable option. As a result, this study attempted to respond to the following questions: first, what is the link between DFS growth and digital inclusion in African countries? Second, what justifies the imposition of DFS taxes in Africa? Third, what are the potential consequences of DFS taxes in African countries? Using secondary data from the literature review and document analysis, a systematic technique for assessing or evaluating printed and electronic documents, and computer-based and internet-transmitted material, the study discovered that digital financial inclusion is driving financial inclusion on the African continent. The study also found that, despite several negative consequences associated with the growth of the digital economy, most African economic activities are informal and are being aided by various digital financial services. Therefore, it is equally crucial that when adopting digital finance taxes, care is taken to avoid excluding low-income earners from the financial sector and to take note of the usage, affordability, and distortive implications of taxation.

Review of Artificial Intelligence and Machine Learning Technologies: Classification, Restrictions, Opportunities and Challenges

Artificial intelligence (AI) is an evolving set of technologies used for solving a wide range of applied issues. The core of AI is machine learning (ML)—a complex of algorithms and methods that address the problems of classification, clustering, and forecasting. The practical application of AI&ML holds promising prospects. Therefore, the researches in this area are intensive. However, the industrial applications of AI and its more intensive use in society are not widespread at the present time. The challenges of widespread AI applications need to be considered from both the AI (internal problems) and the societal (external problems) perspective. This consideration will identify the priority steps for more intensive practical application of AI technologies, their introduction, and involvement in industry and society. The article presents the identification and discussion of the challenges of the employment of AI technologies in the economy and society of resource-based countries. The systematization of AI&ML technologies is implemented based on publications in these areas. This systematization allows for the specification of the organizational, personnel, social and technological limitations. This paper outlines the directions of studies in AI and ML, which will allow us to overcome some of the limitations and achieve expansion of the scope of AI&ML applications.

Industry 4.0 in Financial Services: Mobile Money Taxes, Revenue Mobilisation, Financial Inclusion, and the Realisation of Sustainable Development Goals (SDGs) in Africa

The use of mobile phones is a global phenomenon that provides developing countries with novel opportunities to enhance economic growth and facilitate improvement in the welfare of citizens. Governments have introduced mobile money taxes to improve tax revenue generation. This has been met with criticism by the public, media, and businesses on the basis that they hinder financial inclusion, constrain economic growth, and impede the attainment of some of the 2030 sustainable development goals, such as reduction in poverty, minimising inequality, building strong institutions, and providing decent work. Through a comprehensive critical review of literature, this study discusses mobile money taxes and their effects on revenue mobilisation, financial inclusion, and the attainment of the 2030 sustainable development goals. The findings reveal mixed opinions. While some scholars argued that mobile money taxes were instrumental in improving revenue generation, tax compliance, and reducing tax administration and compliance costs, some suggested otherwise, pointing out their negative impact. The unfavourable externalities include reduced financial inclusion, affordability challenges, reduction in usage of mobile money platforms, increased poverty and inequality, and ultimately the non-achievement of SDGs. The study contributes to the theoretical literature on the body of taxation and financial inclusion. It also gives insights to policymakers regarding likely implications of mobile money taxes.

Energy Oriented Concepts and Other SMART WORLD Trends as Game Changers of Co-Production—Reality or Future?

The aim of the study is to identify, map and assess the maturity and impact level of the specific energy-oriented economy and other SMART management concepts and social, technological, finance (economical), environmental, and communication (S.T.F.E.C.) trends which arose from the dynamic development and spread of the Industry 4.0 revolution on processes of effective competitiveness and the creation of modern enterprises. The article presents data and information obtained thanks to an in-depth review of the literature (extensive desk research), as well as that obtained as part of the conducted CAWI pilot study. The authors aim to search for answers to three specific research questions, concluding that recently, special attention is paid to such issues as co-creation and co-production, energy-oriented and circular economy, eco-energy, and sustainability. The findings of this study clearly show that in the SMART WORLD era, there is a growing interest in cooperation, co-creation, co-production issues, and usage of modern technologies and SMART management concepts typical of the Industry 4.0 era. The main reason for this is that enterprises strive to optimize and maximize their efficiency in the processes of competitiveness creation. Researched data allows us to conclude that openness to social, environmental, and technological trends and issues, with an approach based on sustainable and eco-energy-oriented development, play an increasingly important role. However, the level of their importance, implementation level, and maturity differ depending on the type of organization or industry. For example, service and trade companies more often than production companies use and rate the usefulness of social trends higher (reality = mainstream orientation for S&T companies and a future orientation for production companies), while production companies apply a more balanced approach, showing greater commitment to economic technological, environmental and financial trends (reality = mainstream orientation for production companies and a future orientation for trade and services companies). Given that the study shows and describes preliminary research results (pilot studies), the authors plan to undertake further efforts in the in-depth scientific exploration of the issues concerned, including, which is particularly important, conducting full-scale research.

Blockchain: Future of e-Governance in Smart Cities

In recent times, Blockchain has emerged as a transformational technology with the ability to disrupt and evolve multiple domains. As a decentralized, immutable distributed ledger, Blockchain technology is one of the most recent entrants to the comprehensive ideology of Smart Cities. The rise of urbanization and increased citizen participation have led to various technology integrations in our present-day cities. For cities to become smart, we need standard frameworks and procedures for integrating technology, citizens and governments. In this paper, we explore the potential of Blockchain technology as an enabler for e-governance in smart cities. We examine the daily challenges of citizens and compare them with the benefits being offered by Blockchain integration. On the basis of a comprehensive literature review, we identified four key areas of e-governance wherein Blockchain can provide monumental advantages. In the context of Blockchain integration for e-governance, the paper presents a survey of prominent published works discussing various urban applications.

Artificial Intelligence Applications for Industry 4.0: A Literature-Based Study

Artificial intelligence (AI) contributes to the recent developments in Industry 4.0. Industries are focusing on improving product consistency, productivity and reducing operating costs, and they want to achieve this with the collaborative partnership between robotics and people. In smart industries, hyperconnected manufacturing processes depend on different machines that interact using AI automation systems by capturing and interpreting all data types. Smart platforms of automation can play a decisive role in transforming modern production. AI provides appropriate information to take decision-making and alert people of possible malfunctions. Industries will use AI to process data transmitted from the Internet of things (IoT) devices and connected machines based on their desire to integrate them into their equipment. It provides companies with the ability to track their entire end-to-end activities and processes fully. This literature review-based paper aims to brief the vital role of AI in successfully implementing Industry 4.0. Accordingly, the research objectives are crafted to facilitate researchers, practitioners, students and industry professionals in this paper. First, it discusses the significant technological features and traits of AI, critical for Industry 4.0. Second, this paper identifies the significant advancements and various challenges enabling the implementation of AI for Industry 4.0. Finally, the paper identifies and discusses significant applications of AI for Industry 4.0. With an extensive review-based exploration, we see that the advantages of AI are widespread and the need for stakeholders in understanding the kind of automation platform they require in the new manufacturing order. Furthermore, this technology seeks correlations to avoid errors and eventually to anticipate them. Thus, AI technology is gradually accomplishing various goals of Industry 4.0.

Artificial Intelligence in the Industry 4.0, and Its Impact on Poverty, Innovation, Infrastructure Development, and the Sustainable Development Goals: Lessons from Emerging Economies?

Artificial intelligence in the fourth industrial revolution is beginning to live up to its promises of delivering real value necessitated by the availability of relevant data, computational ability, and algorithms. Therefore, this study sought to investigate the influence of artificial intelligence on the attainment of Sustainable Development Goals with a direct focus on poverty reduction, goal one, industry, innovation, and infrastructure development goal 9, in emerging economies. Using content analysis, the result pointed to the fact that artificial intelligence has a strong influence on the attainment of Sustainable Development Goals particularly on poverty reduction, improvement of the certainty and reliability of infrastructure like transport making economic growth and development possible in emerging economies. The results revealed that Artificial intelligence is making poverty reduction possible through improving the collection of poverty-related data through poverty maps, revolutionizing agriculture education and the finance sector through financial inclusion. The study also discovered that AI is also assisting a lot in education, and the financial sector allowing the previously excluded individuals to be able to participate in the mainstream economy. Therefore, it is important that governments in emerging economies need to invest more in the use of AI and increase the research related to it so that the Sustainable Development Goals (SDGs) related to innovation, infrastructure development, poverty reduction are attained.

Social Media, Quo Vadis? Prospective Development and Implications

Over the past two decades, social media have become a crucial and omnipresent cultural and economic phenomenon, which has seen platforms come and go and advance technologically. In this study, we explore the further development of social media regarding interactive technologies, platform development, relationships to news media, the activities of institutional and organizational users, and effects of social media on the individual and the society over the next five to ten years by conducting an international, two-stage Delphi study. Our results show that enhanced interaction on platforms, including virtual and augmented reality, somatosensory sense, and touch- and movement-based navigation are expected. AIs will interact with other social media users. Inactive user profiles will outnumber active ones. Platform providers will diversify into the WWW, e-commerce, edu-tech, fintechs, the automobile industry, and HR. They will change to a freemium business model and put more effort into combating cybercrime. Social media will become the predominant news distributor, but fake news will still be problematic. Firms will spend greater amounts of their budgets on social media advertising, and schools, politicians, and the medical sector will increase their social media engagement. Social media use will increasingly lead to individuals’ psychic issues. Society will benefit from economic growth and new jobs, increased political interest, democratic progress, and education due to social media. However, censorship and the energy consumption of platform operators might rise.