Fresh thinking on growth and development in Asia and the Pacific

Seminar: Asian Capital Market Integration: Theory and Practice

Event | 14 May 2012 ADBI, Tokyo, Japan


Cyn-Young Park, Assistant Chief Economist of Asian Development Bank will give a seminar titled Asian Capital Market Integration: Theory and Practice.


Financial integration, in theory, offers many benefits, but in practice, tighter financial linkages also generate a higher risk of cross-border financial contagion. Assessing and monitoring the progress of financial market integration is important, as the degree of financial integration has implications for financial stability and an economy's capacity to absorb shocks. Using both quantity- and price-based measures of financial integration, this paper aims to examine the dynamic progress of Asian financial integration at sub-regional levels in different segments of the markets. This paper offers an empirical assessment for the degree of global and regional financial integration in emerging Asia since the 1997–1998 Asian crisis, including the period of the 2008–2009 global financial crisis, and suggests implications of recent developments in the regional and global financial landscape to Asian financial integration.


Policymakers, academics, media, and the general public.