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Development

pp 1–9 | Cite as

Finance’s New Avatar

  • Kwame Sundaram JomoEmail author
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Abstract

The transformation of finance in recent decades has involved new property rights creating novel financial assets and transnational financial relations. Ascendant financialization, associated with financial globalization, has facilitated the capture of financial rents from changes in the prices of securities, held directly or indirectly, and often financed through repo markets. Commercial banks increasingly serve securities and derivative markets, as shadow banking has grown in significance, accelerating financial wealth concentration.

Keywords

Financialization Financial globalization Shadow banking Financing for development Securitization Development banking 

Notes

References

  1. Gabor, Daniela. 2018. Understanding the financialization of international development through 11 FAQs. Washington, DC: Heinrich Boll Stiftung North America.Google Scholar
  2. Roy, Helene. 2015. Dilemma not Trilemma: The global financial cycle and monetary policy independence. National Bureau of Economic Research working paper 21162. https://www.nber.org/papers/w21162.

Copyright information

© Society for International Development 2020

Authors and Affiliations

  1. 1.Khazanah Research InstituteKuala LumpurMalaysia

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