The international financial integration of China and India
Philip Lane and
Sergio Schmukler
Proceedings, 2006, issue Jun
Abstract:
Three main features characterize the international financial integration of China and India. First, these countries are large holders of official reserves, while only having a small global share of privately-held external assets and liabilities (with the exception of China?s FDI liabilities). Second, their international balance sheets are highly asymmetric: both are ?short equity, long debt.? Third, China and India have improved their net external positions over the last decade although, based on their level of economic development, neoclassical models would predict them to be net borrowers. Domestic financial policies seem essential in understanding these patterns of integration. These include financial liberalization and exchange rate policies; domestic financial sector policies; and the impact of financial reform on savings and investment rates. Changes in these factors will affect the international financial integration of China and India (through shifts in capital flows and asset/liability holdings) and, consequently, the international financial system.
Date: 2006
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (14)
Downloads: (external link)
https://www.frbsf.org/wp-content/uploads/Schmukler.pdf Full Text (text/html)
Related works:
Working Paper: The international financial integration of China and India (2007) 
Working Paper: The International Financial Integration of China and India (2006) 
Working Paper: The International Financial Integration of China and India (2006) 
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:fip:fedfpr:y:2006:i:jun:x:8
Ordering information: This journal article can be ordered from
Access Statistics for this article
More articles in Proceedings from Federal Reserve Bank of San Francisco Contact information at EDIRC.
Bibliographic data for series maintained by Federal Reserve Bank of San Francisco Research Library ().