Financial Development in Asia : Beyond Aggregate Indicators
This paper documents the major trends in financial development in Asia since the early 1990s and the spillovers to firms. It compares Asia with advanced and emerging countries and uses both aggregate and disaggregate indicators. Financial systems i...
Main Authors: | , |
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Language: | English en_US |
Published: |
World Bank, Washington, DC
2014
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Subjects: | |
Online Access: | http://documents.worldbank.org/curated/en/2014/01/18860706/financial-development-asia-beyond-aggregate-indicators http://hdl.handle.net/10986/16816 |
Summary: | This paper documents the major trends in
financial development in Asia since the early 1990s and the
spillovers to firms. It compares Asia with advanced and
emerging countries and uses both aggregate and disaggregate
indicators. Financial systems in Asia remain less developed
than in advanced countries but more developed than in
Eastern Europe and Latin America. Bond and stock markets
play a larger role and institutional investors have gained
importance. Nonetheless, capital-raising activity has not
expanded. A few large companies capture most of the
issuances. Many secondary markets remain illiquid. The
public sector captures a significant share of bond markets.
The largest advancements in Asia occurred in China and
India. But still in these countries, few large companies use
capital markets to expand and grow, becoming much larger
than nonuser firms. In sum, Asia's financial systems
remain less developed than aggregate measures suggest, with
few spillovers to many firms. |
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