Possibilities of further emerging bond market development


  • Нермина Побрић Faculty of Economics in Brčko


bonds, bond market development, emerging markets, developing countries


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.


Download data is not yet available.


Abbas, S.M. & Christensen, J.E. International Monetary Fund, WP/07/127. (2007). Te Role of Domestic Debt Markets in Economic Growth: An Empirical Investigation for Low-Income Countries and Emerging Markets: available at IMF: http://www.imf.org/external/pubs/f/wp/2007/wp07127.pdf (12.07.2008.)
Batten, J.A. & Szilagyi, P.G. IIIS, Discussion Paper No. 138. (2006). Developing Foreign Bond Markets: Te Arirang Bond Experience in Korea: available at IIIS: http://www.tcd.ie/iiis/documents/discussion/pdfs/iiisdp138.pdf (12.07.2008.)
Burger, J.D. & Warnock, F.E. Darden Business School, Working Paper No. 05-07. (2006). Foreign Participation in Local Currency Bond Markets: available at: http://elsa.berkeley.edu/users/eichengr/af/warnock.pdf (12.07.2008.)
Dittmar, D.F. & Yuan, K. (2005). Te Pricing Impacts of Sovereign Bonds: available at SSRN: http://ssrn.com/abstract=672721 (12.07.2008.)
Glaessner, T. & Ladekarl, J. (2001). Issues in Development of Government Bond Market: available at SSRN: http://ssrn.com/abstract=882875 (12.07.2008.)
Hagmayr, B., Haiss, P. & Sumegi, K. (2007). Financial Sector Development and Economic Growth – Evidence for Southeastern Europe: available at SSRN: http://ssrn.com/abstract=968253 (12.07.2008.)
Mody, A. International Monetary Fund: WP/04/177. (2004). What Is an Emerging Market: available at IMF: http://www.imf.org/external/pubs/f/wp/2004/wp04177.pdf (12.07.2008.).
BIS. 77th Annual Report. (2007). Available at BIS: http://www.bis.org/publ/arpdf/ar2007e.htm (12.07.2008.)
World Bank. Global Development Finance. (2007). Available at World Bank: https://openknowledge.worldbank.org/bitstream/handle/10986/8126/477220v10GDF0G1sclosed0Mar010020091.pdf?sequence=1 (12.07.2008.)
World Bank. Global Development Finance. (2012). Available at World Bank: https://openknowledge.worldbank.org/bitstream/handle/10986/2392/662300PUB0EPI000development0fnance.pdf?sequence=1 (28.03.2013.)




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



Review article