Like this article? PLEASE +1 it! Evan Signature
Evan Carmichael Top Header
Share for a Cause









VI. B. Banking Sector Development: WHAT DETERMINES STOCK MARKET DEVELOPMENT IN AFRICA?

Written by: International Monetary Fund

Article Overview: The development of the banking sector is important for stock market development in Africa.

Free Download - References: Stock Market Development in Sub-Saharan Africa By International Monetary Fund
Name: Email:

VI. B. Banking Sector Development: WHAT DETERMINES STOCK MARKET DEVELOPMENT IN AFRICA?

The development of the banking sector is important for stock market development in Africa.
At the early stages of its establishment the stock market is a complement rather than
substitute for the banking sector. Developing the financial intermediary sector can promote stock market development. Many East Asian countries are successful examples. Support
services from the banking system contribute significantly to the development of the stock
market. Consequently, liquid inter-bank markets, largely supported by an efficient banking
system, are important for the development of the stock market. Conversely a weak-banking
system can constrain the development of the stock market. On the empirical front, Demirguc-
Kunt and Levine (1996) found that most stock market indicators are highly correlated with
banking sector development. Countries with well-developed stock markets tend to have welldeveloped
financial intermediaries. Yartey (2007b) finds that a percentage point increase
banking sector development increases stock market development in Africa by
0.59 percentage point controlling for macroeconomic stability, economic development and
the quality of legal and political institutions.

IMF Working Paper
African Department
Stock Market Development in Sub-Saharan Africa: Critical Issues and Challenges
Prepared by Charles Amo Yartey and Charles Komla Adjasi
August 2007

Related Articles
  VI. A. Macroeconomic Stability: WHAT DETERMINES STOCK MARKET DEVELOPMENT IN AFRICA?
  VIII. SUMMARY AND CONCLUSION: Stock Market Development in Sub-Saharan Africa
  VI. C. Institutional Quality: WHAT DETERMINES STOCK MARKET DEVELOPMENT IN AFRICA?
  Introduction: Stock Market Development in Sub-Saharan Africa
  VII G. Strengthen Education: PROMOTING STOCK MARKET DEVELOPMENT IN AFRICA

Home > African-Accounts > International Monetary Fund > VI B Banking Sector Development WHAT DETERMINES STOCK MARKET DEVELOPMENT IN AFRICA
Article Tags: amo, banking sector, banking system, challenges, complement, critical issues, development countries, development increases, east asian countries, economic development, financial intermediaries, imf, macroeconomic stability, percentage point increase, political institutions, sector development, stock market development, stock market indicators, stock markets, sub saharan africa

About the Author: International Monetary Fund
RSS for International's articles - Visit International's website

The IMF is an international organization of 185 member countries. It was established to promote international monetary cooperation, exchange stability, and orderly exchange arrangements; to foster economic growth and high levels of employment; and to provide temporary financial assistance to countries to help ease balance of payments adjustment. Since the IMF was established its purposes have remained unchanged but its operations—which involve surveillance, financial assistance, and technical assistance—have developed to meet the changing needs of its member countries in an evolving world economy.

Click here to visit International's website Dashed Line

More from International Monetary Fund
23 Looking for Financial Sustainability Microfinance in Africa Experience and Lessons from Selected African Countries
41 Objectives and Coverage of the Regulatory Framework Microfinance in Africa Experience and Lessons from Selected African Countries
Moving Forward Developing Countries
III A Chinas African Policy and New Commitments for 200709 THE ROLE OF CHINAS PUBLIC SECTOR
22 Formalizing Informal Methods of Financial Intermediation Microfinance in Africa Experience and Lessons from Selected African Countries


Related Forum Posts
Re: Hello from South Africa Re: Hello from South Africa - you are welcome to the forum of achievers.its great to have you here,i also reside in SOUTH AFRICA.
Re: what position to request? Re: what position to request? - Hi Michael, Great suggestion from David, or you could try something around a design consultancy, How about Website Design Consultant, Design and Development Manager, Website Support and Development Manager or maybe Internet Business Development Consultant. Ultimately whatever you are comfortable with and good luck for the future, Mal.
BDC BDC - [quote="IWDCanada":jib6tqt9]I think if you try to do business in the Maritimes the Business Development Bank of Canada might be able to provide grants.[/quote:jib6tqt9] On that note, does anybody have any experiences with the Business Development Bank of Canada that they would like to share? I have been considering approaching them for a business loan.
Re: BDC Re: BDC - [quote="Jones":255lkmrn][quote="IWDCanada":255lkmrn]I think if you try to do business in the Maritimes the Business Development Bank of Canada might be able to provide grants.[/quote:255lkmrn] On that note, does anybody have any experiences with the Business Development Bank of Canada that they would like to share? I have been considering approaching them for a business loan.[/quote:255lkmrn] I'll be working with the BDC later this month on a few projects. From what i've been told they are really great when it comes to small business. Their loans have a little higher interest but their payment terms are a lot easier to swallow. I can give you a contact if you need.
Re: what position to request? Re: what position to request? - Business Development Manager - is more or less ok... thank you. but I want something fancier... an executive position..


Share this article with your friends. Fund someone's dream.

Leave a comment below or share on the left and you'll help support entrepreneurs in Africa through our partnership with Kiva. Over $50,000 raised and counting - Please keep sharing! Learn more.



Featured Article


Bottom Footer
Share for a Cause












Newsletter

Get advice & tips from famous business
owners, new articles by entrepreneur
experts, my latest website updates, &
special sneak peaks at what's to come!
Name:
Email:
Popular Articles

Halloween Howl Seven by Author Paige Agnew

The five pillars of internet marketing strategy

The new marketing question. Will they follow?
Suggestions

Email us your ideas on how to make our
website more valuable! Thank you Sharon
from Toronto Salsa Lessons / Classes for
your suggestions to make the newsletter
look like the website and profile younger
entrepreneurs like Jennifer Lopez.