The Impact of Financial Innovation on Economic Growth in Vietnam: Panel Data Analysis

Thi Thuy Huong Luong, Attasuda Lerskullawat and Thanarak Laosuthi

SAGE Open, 2025, vol. 15, issue 3, 21582440251369260

Abstract: This study examines the impact of financial innovation on economic growth in Vietnam, using panel data analysis during 2010 to 2020 in both the whole country level and regional level. Financial innovation measurements include financial institutions innovation and financial markets innovation which are constructed based on two core sectors of the financial system. For the whole country level, the results from the difference-GMM method indicate that financial institutions innovation positively impacts economic growth in Vietnam. Meanwhile, the negative influence of financial markets innovation on economic growth is pointed out in the study. For six regions of Vietnam, the similar results as the country in five regions are documented except the Central Highlands region which shows that financial institutions innovation non-significantly influences its regional growth. Findings from this research elicit significant policies that recognize financial innovation as a crucial driver to boost economic growth in Vietnam and foster economic regions.

Keywords: financial innovation; financial institutions innovation; financial markets innovation; economic growth; Vietnam (search for similar items in EconPapers)
Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
https://journals.sagepub.com/doi/10.1177/21582440251369260 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:sae:sagope:v:15:y:2025:i:3:p:21582440251369260

DOI: 10.1177/21582440251369260

Access Statistics for this article

More articles in SAGE Open
Bibliographic data for series maintained by SAGE Publications ().