SECURITIES MARKETS AND SOCIAL CAPITAL INTEGRATION IN AFRICA: RISKS AND POLICY OPTIONS
Godwin Nwaobi ()
Finance from University Library of Munich, Germany
The need to develop securities market has, following the recent international financial crises, increasingly attracted the attention of national and international policy makers. Never before have developed and developing countries shared such a strong interest in ensuring the stable growth of the international capital flows. And yet, the question for policymakers is how to channel these gains into investments that promote development, sustainable poverty reduction and social equity. Using the African scenario, this paper argued that although many of the institutions needed for strong income growth and asset accumulation are equally important in fostering social assets, the institutional underpinnings of sustainable development are somewhat broader. They rest on greater access to information and knowledge and the ability to form broader partnerships. Without these additional institutional elements, society risks fragmentation that imperil both income growth and wellbeing. Nothing that market exchange plays a larger role in africa, we also argued that the presence of transactions costs naturally leads market participants to enter in long-term trading relationships(and these relationships form business networks that shape market outcomes) with minimum risks. However,when societies become more equitable in ways that lead to greater opportunites for all,the poor stand to benefit from a 'double dividend'.
Keywords: SECURITIES; SOCIAL CAPITAL; MARKETS; PORTFOLIO; AFRICAN ECONOMY; INSTITUTIONS; RISKS; BONDS; TREASURY BILLS; STOCKS; DEBENTURES; STOCKEXHANGE; AUCTIONS INVESTMENTS; DEBT; MICROFINANCE; SOCIALSECURITY (search for similar items in EconPapers)
JEL-codes: G10 G11 G12 G24 G30 F21 F32 E44 H55 D81 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-afr, nep-fin, nep-fmk and nep-pbe
Note: Type of Document - pdf; pages: 49. THIS IS A RESEARCH PAPER FOR EXPERTISE COMMENTS
References: View references in EconPapers View complete reference list from CitEc
Citations Track citations by RSS feed
Downloads: (external link)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:wpa:wuwpfi:0512019
Access Statistics for this paper
More papers in Finance from University Library of Munich, Germany
Bibliographic data for series maintained by EconWPA ().