The Role of Financial Intermediation in the Mobilisation and Allocation of Household Savings in Ethiopia: Interlinks between Organized and Informal Circuits

Giordano Dell'Amore Working Paper No. 2/1987

29 Pages Posted: 11 Nov 2006

See all articles by Arnaldo Mauri

Arnaldo Mauri

Università Degli Studi di Milano

Date Written: 1987

Abstract

The paper summarises the results of a research on financial intermediation and savings mobilization undertaken in Ethiopia in mid-80s. It examines firstly financial system reforms brought about by the Ethiopian socialist regime with the focus on institutional changes and finds out that restructured formal financial sector proved to be inadequate in promoting and mobilizing household savings. On the other hand, the informal financial sector has shown itself to be much more successful in this task. Therefore the paper concentrates on the analysis of the informal financial sector and explores actual interlinkages between formal and informal financial circuits. The conclusion suggests feasible actions to be undertaken by authorities with the aim of improving financial intermediation and household savings mobilization

Keywords: Ethiopia, financial dualism, informal finance, savings mobilization

JEL Classification: G21, N27, O17, P 21

Suggested Citation

Mauri, Arnaldo, The Role of Financial Intermediation in the Mobilisation and Allocation of Household Savings in Ethiopia: Interlinks between Organized and Informal Circuits (1987). Giordano Dell'Amore Working Paper No. 2/1987, Available at SSRN: https://ssrn.com/abstract=943426 or http://dx.doi.org/10.2139/ssrn.943426

Arnaldo Mauri (Contact Author)

Università Degli Studi di Milano ( email )

Milan, 20122
Italy

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