Ten Lessons on Debt Market Development

Abstract

Recent financial crises, such as in East Asia in the late 1990s, in Latin America during the 1980s, in Mexico in 1994, and in Russia in 1998, have led to recognition, by both policy makers and academics, of the importance of a sound domestic debt market in supporting financial and economic growth and stability. The current global financial crisis has reinforced this view. This note aims to share ten lessons on domestic debt market development based on personal experience with such development over 17 years.

Keywords: Debt Market Development, Financial Market, Emerging Markets

JEL Classification: H63, G10, G18, E60, E61, E62