For the large number of developing countries undergoing significant structural transformations, one of the most important and controversial adjustment areas is that of the financial markets. Focusing on the role of the institutional and enabling environment within which financial reform occurs and on the integration of principles of finance with more macroeconomic approaches to the subject, the book contains case studies of reform experiences in Argentina, India, Nigeria, Turkey and Uruguay. Themes studied include the 'go slow' versus 'big bang' approach and the particular problem of bank-firm inter-linkages in Eastern Europe.

This volume represents a uniquely thorough investigation of trade and financial policy as it impacts upon Third World development. A broad range of international case studies (including Indonesia, Uruguay and Tunisia) offer a wealth of empirical material and statistical information. Thematic discussion chapters build on these case studies, offering important analysis of topics such as trade specialization and industrial change.

Contents:
Introduction
1. José María Fanelli and Rohinto Medhora Finance and Competitiveness: Framework and Synthesis
Part 1: Country Case Studies
2. José María Fanelli and Saúl Keifman Finance and Changing Trade Patterns in Developing Countries: The Argentine Case
3. Maria Cristina T. Terra Finance and Changing Trade Patterns in Brazil
4. A. Ganesh-Kumar, Kunel Sen and Rajendra R. Vaidya International Competitiveness, Trade and Finance: India
5. Ari Kuncoro International Trade, Productivity and Competitiveness: The Case of the Indonesian Manufacturing Sector
6. Joseph T. Yap Trade Competitiveness and Finance in the Philippines Manufacturing Sector
7. Trevor Bell, Greg Farrell and Rashad Cassim Competitiveness, International Trade and Finance in a Minerals-Rich Economy: The Case of South Africa
8. Mustapha Nabli, Mejda Bahlous, Mohamed Bechri, Marouane El Abbassi, Riadh El Ferktaji and Bechir Talbi Trade Finance and Competitiveness in Tunisia
Part 2: Thematic Papers
9. Paolo Guerrieri Trade Openness, Industrial Change and Economic Development
10. Jaime Ros Trade Specialization and Economic Growth
11. Rodney Schmidt Two Problems in Bank Lending for Development
12. Rohinton Medhora Exchange Rates, Real-Financial and Micro-Macro Linkage

This important book offers valuable insights into the process of economic reform in developing countries. It is organized around three dimensions that are deemed critical to the success of reform programmes. According to Nobel Laureate Amartya Sen, these key factors are Reach, Range, and Reason. 'Reach' refers to the ability of reform to be person-centered and evenhanded, reaching all individuals in society. 'Range' considers the institutional reforms and policy changes necessary to implement change and the possible ripple effects on other policies and populations. Finally, 'Reason' captures the importance of constantly asking why a particular reform has been selected.By analysing the reform process from this particular perspective, the chapters in this volume illustrate the success of this approach with specific examples prepared by authors from developing and transition countries and, in doing so, reveal the breadth of knowledge and home-grown expertise in the developing and transition world. Among academics, the book will appeal to those teaching courses in political economy, development studies, globalization, and public policy. It will also be of great interest to policy-oriented researchers and policymakers at international institutions, think tanks and policy research institutes, as well as at development agencies, ministries and departments.

For the large number of developing countries undergoing significant structural transformations, one of the most important and controversial adjustment areas is that of the financial markets. Focusing on the role of the institutional and enabling environment within which financial reform occurs and on the integration of principles of finance with more macroeconomic approaches to the subject, the book contains case studies of reform experiences in Argentina, India, Nigeria, Turkey and Uruguay. Themes studied include the 'go slow' versus 'big bang' approach and the particular problem of bank-firm inter-linkages in Eastern Europe.