Research

Hard Information and Local Lending Markets: Evidence from Invoice Digitalization           

Job Market Paper 

Central Bank Talk: 

2026:  Bank of Finalnd - 12th Workshop on Banking and Institutions; Central Bank of Germany, 3rd Frankfurt Summer School; Annual Conference of Central Bank of Brazil; 4th Georgia Tech–Atlanta Fed Household Finance Conference (Post);

Selected Talk: 

2026:  “Uncertainty” Conference; EFMA & Doctoral Seminar; Durham Job Market Paper Conference; 8th Future of Financial Information Conference; FMA-EU; Munich Summer Institute; SWFA; 

2025:  SBFC.

Abstract: 

Small business lending remains local when opaque firms generate little bank-usable hard information. I study a staggered tax-digitalization reform in China that turns transaction records into bank-usable hard information for lending. Using confidential loan-origination data and staggered provincial rollout, I show that the reform improves banks’ internal assessment, expands credit lines, lowers rates and spreads, lengthens maturities, and increases lending distance. Effects are strongest where lending had relied more on local soft information. Digital public infrastructure can therefore promote more inclusive small business finance by making bank-usable hard information available without evidence of relaxed underwriting.

This paper formerly circulated as:  Invoice Digitization and Credit Availability: Hard-Information Effects in Small Business Lending