The global financial crisis has led to a sweeping reevaluation of financial market regulation and macroeconomic policies. Emerging markets need to balance the goals of financial development and broader financial inclusion with the imperative of strengthening macroeconomic and financial stability. The third in a series on emerging markets, "New Paradigms for Financial Regulation" develops new analytical frameworks and provides policy prescriptions for how the frameworks should be adapted to a world of more free and more volatile capital.
This volume provides an overview of the global regulatory landscape from the perspective of Asian emerging markets. The contributors discuss the many challenges ahead in developing sound and flexible financial regulatory systems for emerging market economies. The challenges are heightened by the rising integration of these economies into global trade and finance, the growing sophistication of their financial systems as globalization and emergence processes accelerate, and their potential vulnerability to instability arising from the financial markets in the advanced economies.
The contributors provide guidance about pitfalls to be avoided, general principles that should guide the creation of sound regulatory systems, and valuable analytic perspectives about how to continue to broaden the financial sector and innovate while still maintaining financial and macroeconomic stability.
About the Author
Masahiro Kawai is Dean and CEO of the Asian Development Bank Institute. He was previously special advisor to the ADB president in charge of regional economic cooperation and integration. Before that he was in the academia, first as an associate professor of economics at The Johns Hopkins University and later as a professor of economics at the University of Tokyo. He also served as chief economist for the World Bank's East Asia and the Pacific Region and as deputy vice minister for international affairs of Japan's Ministry of Finance. His recent publications focus on economic regionalism. He holds a BA in economics from the University of Tokyo and a PhD in economics from Stanford University. Mizanur Rahman is an associate professor of Accounting & Public Policy in the University of Dhaka. He got his undergraduate and graduate degrees in accounting from the same university. Later he obtained Master's and Ph.D. degrees in accounting & public policy from National Graduate Institute for Policy Studies (GRIPS), Tokyo. Rahman worked as a research scholar at the Research Institute of Economy, Trade and Industry (RIETI) in 2006-07. Then he worked as an economist at the Asian Development Bank Institute (ADBI) in 2008-09. Rahman is an expert of UN ESCAP for private sector development in Asia and the Pacific. He is the director of Accounting for Capital Market Development, a research initiative funded by the World Bank in the University of Dhaka. He has widely published in ISI journals. In January 2010, the Global Development Network (GDN) awarded him 'GDN Medal for Research on Development.' Rahman has been working as a focal point for strengthening academic and research collaborations between Bangladesh and Japan and represented the University Grants Commission of Bangladesh to this end. The U.S. Department of State has recently awarded him a senior fellowship to participate in EducationUSA Leadership Institute for the promotion of University-Industry linkages. He often appears in electronic media and writes op-eds in print media on issues of public policy relevance.
Eswar S. Prasad is the Tolani Senior Professor of Trade Policy at Cornell University, a senior fellow at the Brookings Institution, and a research associate at the National Bureau of Economic Research. He is a former head of the IMF s China division.