Financial services and capital markets (Work Package 6)

Financial services and capital markets are at the heart of economic transition as was clearly stated at the 12th Euro-Mediterranean Conference on Economic Transition. A sound financial system can spur growth by mobilizing savings, providing funds for infrastructure development and private firms, improving the allocation of resources facilitating risk management and trade as well as enhancing corporate governance practices. Such a system is particularly important for the growth of small and medium-sized enterprises (SMEs), which represent an important source of activity but lack the internal sources to grow. The capital markets in the MED 11 countries are relatively underdeveloped and external financing needs are met almost entirely through bank loans. This work package will provide quantitative and qualitative prospective analysis of the financial services sector and capital markets development, using all available international and national sources in order to assess the potential for further growth and integration in financial services sector.

The leader of this work package is Dr. Rym Ayadi from the Centre for European Policy Studies (CEPS), European research center with strong track record in financial markets research.

Publications

Access by MSMEs to Finance in the Southern and Eastern Mediterranean: What role for credit guarantee schemes?
Date of publication: Tuesday, 30 April, 2013
Micro-, small- and medium-sized enterprises (MSMEs) in the Southern and Eastern Mediterranean suffer from credit constraints. Given their contribution to employment and growth, similarly as in other regions, policy-makers have developed credit...
Institution:
CEPS
Financial Sector Development and Integration in the Southern and Eastern Mediterranean: Towards a long-term sustainable transition
Date of publication: Tuesday, 9 April, 2013
This MEDPRO Policy Paper examines the trends and prospects in financial-sector development and integration in the southern and eastern Mediterranean countries and concludes with an agenda for a long-term sustainable transition where finance turns to...
Institution:
CEPS
Benchmarking the Financial Sector in the Southern and Eastern Mediterranean Countries and Projecting 2030 Financial Sector Scenarios
Date of publication: Friday, 22 March, 2013
This paper aims at devising scenarios for the development of the financial system in the southern and eastern Mediterranean countries (SEMCs), for the 2030 horizon. The results of the simulations indicate that bank credit to the private sector, meta...
Institution:

CEPS,
FEMISE
Dynamics of Bank Efficiency in the EU and Southern Mediterranean: Is there a Convergence?
Date of publication: Tuesday, 19 March, 2013
Against a background of decades of regulatory reforms aimed at fostering integration, promoting competition, efficiency and productivity growth in the financial industry, both in developed and developing countries, in this MEDPRO Technical Report...
Institution:
CEPS
Convergence and Integration of Banking Sector Regulations in the Euro-Mediterranean area
Date of publication: Tuesday, 19 March, 2013
This analysis of regulatory convergence shows that substantial improvements have been made in the southern and eastern Mediterranean countries (SEMCs), yet they still suffer from key weaknesses in deposit insurance, entry obstacles, political...
Institution:
CEPS
Financial Development, Bank Efficiency and Economic Growth across the Mediterranean
Date of publication: Friday, 8 March, 2013
This MEDPRO Technical Report explores the relationship between financial sector development and economic growth, using a sample of northern and southern Mediterranean countries for the years 1985-2009. The authors included several variables to...
Institution:

CEPS,
FEMISE
Determinants of Financial Development across the Mediterranean
Date of publication: Wednesday, 27 February, 2013
Casual observation shows that that the financial systems in the southern and eastern Mediterranean are unable (or unwilling) to divert the financial resources that are available to them as funding opportunities to private enterprises. Using a sample...
Institution:
CEPS
The Role of Monetary Policies and Macroeconomic Convergence in the Development of Financial Systems in Southern Mediterranean Countries
Date of publication: Tuesday, 10 April, 2012
This MEDPRO Technical Report shows that the monetary and exchange rate policies conducted by central banks in the South Mediterranean region display apparent homogeneity in their operational frameworks, albeit with some specificities and differing...
Institution:
ITCEQ
Challenges arising from Capital Account Liberalisation in the Countries of the South Mediterranean Region
Date of publication: Thursday, 29 March, 2012
This MEDPRO Technical Report confirms the importance of commercial openness and macroeconomic performance (i.e. the control of inflation and stability of current account balance and exchange rate) on growth dynamics in the south Mediterranean...
Institution:
ITCEQ