Institutional Factors and Financial Sector Development : Evidence From Sub-Saharan Africa.
Material type: TextSeries: IMF Working PapersPublisher: Washington : International Monetary Fund, 2009Copyright date: ©2009Description: 1 online resource (27 pages)Content type: text Media type: computer Carrier type: online resourceISBN: 9781452707679Subject(s): Economics -- Africa, Sub-Saharan | Finance -- Africa, Sub-SaharanGenre/Form: Electronic books.Additional physical formats: Print version:: Institutional Factors and Financial Sector Development : Evidence From Sub-Saharan AfricaDDC classification: 338.126924 LOC classification: HG178.33.A357 -- A53 2009ebOnline resources: Click to ViewIntro -- Contents -- I. Introduction -- II. Institutions and Financial Sector Development -- III. Testing for the Role of Institutions in Financial Sector Development -- IV. Conclusions, Policy Implications, and Possible Extensions -- References -- Figure -- 1. Illustration of the DEA -- Appendices -- I. Data Envelopment Analysis -- II. Data Description -- III. Data Used -- IV. DEA Results: Impact of Institutions on Financial Sector Development.
The paper assesses the effects of certain institutional factors on financial sector development in Sub- Saharan Africa (SSA). Data Envelopment Analysis (DEA) is applied to determine the extent to which these institutions affect the financial sector, and to suggest which institutions play a more critical role in each country. Results suggest that institutional factors affect financial depth and access to financial services more than asset quality and profitability (measured by nonperforming loans (NPL) and return on equity (ROE). The results also suggest that depth of credit information has the strongest influence on the NPL ratio, and political stability affects access the most. Based on model findings, policy implications on prioritizing institutional reforms to enhance financial sector development are suggested for individual countries and for country groups.
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Electronic reproduction. Ann Arbor, Michigan : ProQuest Ebook Central, 2018. Available via World Wide Web. Access may be limited to ProQuest Ebook Central affiliated libraries.
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