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| Title: | The Case for Financial Sector Liberalization in Ethiopia |
| Authors: | Kiyota, Kozo
Pietsch, Barbara
Stern, Robert |
| Keywords: | foreign banks, state-owned banks, financial sector liberalization, Africa, |
| Issue Date: | 24-Aug-2007 |
| Series/Report no.: | IPC Working Paper Series No. 29 |
| Abstract: | This paper focuses on issues of financial sector liberalization in Ethiopia, with reference
in particular to the Ethiopian banking sector. We identify two factors that may constrain
Ethiopia’s financial development. One is the closed nature of the Ethiopian financial
sector in which there are no foreign banks, a non-competitive market structure, and
strong capital controls in place. The other is the dominant role of state-owned banks.
Our observations suggest that the Ethiopian economy would benefit from financial
sector liberalization, especially from the entry of foreign banks and the associated
privatization of state-owned banks. |
| Appears in Collections: | International Policy Center (IPC) - Working Paper Series
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| IPC-working-paper-029-KyotoPeitschStern.pdf | | 123Kb | Adobe PDF | View/Open |
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