Working Paper: NBER ID: w16428
Authors: Eswar S. Prasad
Abstract: This paper provides an overview of the complex conceptual and practical challenges that emerging market economies face as they attempt to reform their frameworks for financial regulation. These economies are striving to balance the quest for financial stability with the imperatives of financial development and broader financial inclusion. I argue that these objectives can in fact reinforce one another. I also discuss aspects of macroeconomic policies and cross-border regulation that have implications for financial stability and the resilience of the financial sector in emerging markets.
Keywords: financial regulation; emerging markets; financial stability; financial inclusion
JEL Codes: E44; E52; G18
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| regulatory reforms (G18) | financial stability (G28) |
| financial inclusion (G20) | financial stability (G28) |
| lessons from the global financial crisis (F65) | regulatory frameworks (G38) |