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Relationship-based and arms-length financial systems -- a European perspective

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  • Wolf, Holger

Abstract

This paper surveys the debate on arms-length and relationship-based financial systems with a special focus on the Eastern Europe and Central Asia region. The paper argues that while the initial dominance of relationship-based systems in the region is consistent with the implications of the theoretical literature, the subsequent improvements in supporting institutions coupled with structural changes suggests a greater scope for arms-length elements going forward.

Suggested Citation

  • Wolf, Holger, 2011. "Relationship-based and arms-length financial systems -- a European perspective," Policy Research Working Paper Series 5833, The World Bank.
  • Handle: RePEc:wbk:wbrwps:5833
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    References listed on IDEAS

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    Keywords

    Debt Markets; Banks&Banking Reform; Access to Finance; Emerging Markets; Financial Intermediation;

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