Law and finance in Africa

Simplice A., Asongu (2011): Law and finance in Africa.

Abstract

This paper assesses how legal-origin influences financial development through regulation quality and the rule of law. It uses data collected after pioneering works on the law-finance nexus to assess hypotheses resulting there-from in the context of Africa. Distinctions are made between English, French, French sub-Saharan, Portuguese and North African countries in how their legal origins affect financial intermediary dynamics of depth, efficiency, size and activity. In terms of policy implications results support the benefits of law channels to financial development in the continent.

• Item Type: MPRA Paper
• Language: English
• Keywords: Law; finance; banks; Africa
• Subjects: O - Economic Development, Innovation, Technological Change, and Growth > O1 - Economic Development; K - Law and Economics > K2 - Regulation and Business Law; G - Financial Economics > G2 - Financial Institutions and Services; P - Economic Systems > P5 - Comparative Economic Systems; K - Law and Economics > K4 - Legal Procedure, the Legal System, and Illegal Behavior

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