Hanoi (VNA) – Blockchain could bring a commercial benefit of 1 trillion USD, mostlyfor small- and medium-sized enterprises (SMEs) as well as for some newly-emergedmarkets whichsuffer most from a lack of access to credit and have ample room to grow trade, including Vietnam, according to a new reportjointly released by Bain & Company and the World Economic Forum (WEF).
The report furthersaid blockchain and its most popular application of distributed ledgertechnology (DLT) have narrowed the trade gap around the globe and made impossibletrade transactions possible.
The positive influencesof the DLT have been shown most obviously in the SMEs and newly-emerged markets,it said.
Blockchain technology canpromote the supply chain and capital market, creating conditions for thestrengthening of transparency in business.
Theglobal trade finance gap is currently standing at 1.5 trillion USD andestimated to grow to 2.4 trillion USD by 2025, as calculated by the AsianDevelopment Bank.
However,this missing funding can be reduced by 1 trillion USD if blockchain technology isapplied more broadly.
WolfgangLehmacher, head of Supply Chain and Transport Industries at the WEF, said thatthe application of blockchain-based solutions will bring about many benefits forthe SMEs from developing countries, rather than current measures such asremoving tariff barriers and closing trade transactions.
VicePresident Gerry Mattios of Bain & Company said that governments and economicorganisations should provide certain technology support to the SMEs, thushelping them form a digital foundation serving their operation and reducerisks.
Speakingto Vietnam News Agency’s reporter on how Vietnamese SMEs can make full use ofadvantages in technology amidst modest capital access, Mattios said that difficultiesin capital calling is common among SMEs and startup firms around the world.
However,the good news is that many funds have been founded to support SMEs in reformand renovation process. Yet in order to give choices to the firms, governmentsand trade organisations must play a significant role in seeking specificroadmaps for their development in the digital world, he said.
Mattiosalso stressed the need for governments and entities of the economy to worktogether to implement the roadmap. -VNA
The report furthersaid blockchain and its most popular application of distributed ledgertechnology (DLT) have narrowed the trade gap around the globe and made impossibletrade transactions possible.
The positive influencesof the DLT have been shown most obviously in the SMEs and newly-emerged markets,it said.
Blockchain technology canpromote the supply chain and capital market, creating conditions for thestrengthening of transparency in business.
Theglobal trade finance gap is currently standing at 1.5 trillion USD andestimated to grow to 2.4 trillion USD by 2025, as calculated by the AsianDevelopment Bank.
However,this missing funding can be reduced by 1 trillion USD if blockchain technology isapplied more broadly.
WolfgangLehmacher, head of Supply Chain and Transport Industries at the WEF, said thatthe application of blockchain-based solutions will bring about many benefits forthe SMEs from developing countries, rather than current measures such asremoving tariff barriers and closing trade transactions.
VicePresident Gerry Mattios of Bain & Company said that governments and economicorganisations should provide certain technology support to the SMEs, thushelping them form a digital foundation serving their operation and reducerisks.
Speakingto Vietnam News Agency’s reporter on how Vietnamese SMEs can make full use ofadvantages in technology amidst modest capital access, Mattios said that difficultiesin capital calling is common among SMEs and startup firms around the world.
However,the good news is that many funds have been founded to support SMEs in reformand renovation process. Yet in order to give choices to the firms, governmentsand trade organisations must play a significant role in seeking specificroadmaps for their development in the digital world, he said.
Mattiosalso stressed the need for governments and entities of the economy to worktogether to implement the roadmap. -VNA
VNA
