Possibilities of further emerging bond market development

Authors

  • Нермина Побрић Faculty of Economics in Brčko

Keywords:

bonds, bond market development, emerging markets, developing countries

Abstract

Since developed bond market is very important, it is indisputable that large force need to be directed to it’s further development in developing countries. In order to bond market be developed numerous barriers of development have to be disposed of. Namely, there are barriers on side of supply of capital, barriers on side of demand for capital as well as barriers in infrastructure development. Sequencing of bond market development depends on size of the economy, degree of competition in the financial sector, degree of the financial system complexity and investors’ structure development in some country and their interest in fixed income securities investment. In underdeveloped market priority should be development and strengthening of market for short-term financial instruments. After solid basis for well operating of short-term financial instruments market is established, then follow the taking activities in order to improve financing by issuing of long-term financial instruments. In the latter phase of bond market development process active secondary market should ensure the basis for further bond standardization in the market.

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References

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Published

2013-07-31

How to Cite

Побрић, Н. (2013). Possibilities of further emerging bond market development. Acta Economica, 11(19), 151–178. Retrieved from http://ae.ef.unibl.org/index.php/AE/article/view/99

Issue

Section

Review article