Payment Technology Complementarities and their Consequences on the Banking Sector

Payment Technology Complementarities and their Consequences on the Banking Sector

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Payment Technology Complementarities and their Consequences on the Banking Sector

Can a new payment technology increase the use of other payment methods and enhance banking sector outcomes, such as deposits and loans? Leveraging individual-level payment and banking data in Brazil, we examine the effects of a novel payment technology, Pix, on the utilization of other payment technologies and its impact on both banks and non-bank financial institutions (NBFIs).

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