Publication: Financial Development
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Published
2007-03-01
ISSN
1564-6971
Date
2012-03-30
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Abstract
In recent decades, financial development policies in emerging market economies have been shaped by a fundamental shift toward market-based financial systems and the lessons from Financial crises. Today, there is consensus that financial development depends on financial stability and convergence toward international standards. While the debate on some issues has matured, policy thinking in other areas is changing, fueled by recent experiences. This article analyzes the evolution of policy thinking on financial development and discusses three areas that are important to achieving deeper financial systems: stock market development, small- and medium-size enterprise financing, and defined-contribution pension systems. The main emerging issues in these areas are illustrated using recent experiences in Latin America. The article concludes that there is a need to take a fresh look at the evidence, improve diagnoses, and revisit expectations.
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“Gozzi, Juan Carlos; de la Torre, Augusto; Schmukler, Sergio L.. 2007. Financial Development. World Bank Research Observer. © World Bank. http://hdl.handle.net/10986/4405 License: CC BY-NC-ND 3.0 IGO.”
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