PUBLICATIONS

@workingpaper{Asongu2013bf,
title = {Liberalization and financial sector competition: a critical contribution to the empirics with an African assessment},
author = {Simplice A Asongu},
editor = {African 2013 Governance and Development Institute WP/13/031},
url = {http://www.afridev.org/RePEc/agd/agd-wpaper/Liberalization-and-financial-sector-competition.-A-critical-contribution-to-the-empirics-with-an-African-assessment.pdf},
year = {2013},
date = {2013-09-01},
abstract = {This paper investigates how financial, trade, institutional and political liberalization
policies have affected financial sector competition in Africa using updated data to appraise
second generation reforms. The ‘freedom to trade’ and ‘economic freedom’ indices are
employed. Hitherto, unexplored financial sector concepts of formalization, semiformalization,
informalization and non-formalization are also introduced. The following
findings are established. Firstly, relative to money supply: (1) with the exception of the
economic freedom mechanism, liberalization policies have generally decreased the growth of
the formal financial sector to the benefit of other financial sectors; (2) apart from the foreign
direct investment and economic freedom channels, liberalization policies have been fruitful
for semi-formal financial development at the cost of other financial sectors and; (3) with the
exception of economic freedom, both the informal and non-formal sectors have developed
owing to liberalization to the detriment of the formal financial sector. Secondly, relative to
GDP, the semi-formal, informal and/or non-formal financial sectors have also generally
improved as a result of liberalization. Policy implications are discussed.},
keywords = {Welfare; Banking; Liberalization; Shadow economy; Africa},
pubstate = {published},
tppubtype = {workingpaper}
}