Measuring Financial Development in Sub-Saharan Africa

Author/Editor:

Enrique A Gelbard ; Sérgio Pereira. Leite

Publication Date:

August 1, 1999

Electronic Access:

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Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary:

This study introduces an index for measuring financial development and a set of six indices representing key characteristics of the financial systems in 38 sub-Saharan African countries. The results show that these countries have made good progress in improving and modernizing their financial systems during the last decade, particularly with regard to financial liberalization and the adoption of indirect instruments of monetary policy. In many countries, however, the range of financial products remains extremely limited, interest rate spreads are wide, capital adequacy ratios are insufficient, judicial loan recovery is a problem, and the share of nonperforming loans is large.

Series:

Working Paper No. 1999/105

Subject:

Bank credit Commercial banks Credit Financial institutions Financial markets Financial sector development Monetary policy Monetary policy instruments Money

English

Publication Date:

August 1, 1999

ISBN/ISSN:

9781451852806/1018-5941

Stock No:

WPIEA1051999

Pages:

28

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