Banking plus: The Crux of Financial Matters

The basic underpinnings of the financial structure of a nation are embedded in its banking system, its stock markets, and its credit institutions. These elements are also closely interconnected to the behavior of consumer, business, government, and foreign trade sectors of national economies.

Banking Plus illustrates the linkages among these components through theory and recent data for thirteen nations. Data, performance of stock markets, monetary authorities, banks, credit markets, and external debt, backed by balance sheets, capital flows, and other structural influences, are explored.

Financial development and productivity growth have displayed a positive relationship, and many advancing nations have been catering to this claim. Gross Domestic Product and Gross National Income per capita in these nations have been rising at a rapid pace as their financial sectors expanded. However, as world nations have learned, the risks of financial instability are high.