Enhancing supply chain finance through blockchain technology: drivers and implementation strategies

Blockchain technology (BCT) has emerged as a transformative tool in supply chain finance (SCF), significantly enhancing transparency and efficiency. This study, informed by a thorough literature review and consultations with academic and industry experts, identifies and validates the critical factors necessary for seamless BCT integration in SCF, with a particular focus on Pakistan's banking sector. Using the Fuzzy-DEMATEL method, the study reveals peer-to-peer transactions as primary drivers for BCT adoption in SCF. Additionally, it emphasizes the importance of risk reduction, digitalization levels, and factors related to trust, collaboration, and quality assurance. Based on these findings, it is strongly recommended that the State Bank, in collaboration with the Securities and Exchange Commission, develop and implement regulatory frameworks to promote BCT adoption. Establishing comprehensive data acquisition protocols and clear implementation guidelines will be vital to successfully introducing blockchain features across the country and fostering a robust and transparent financial environment.