Financial liberalisation

Summary

Financial Liberalisation is a term describing a series of policies that aim to remove other polices that are seen to constrain the effects of free markets in the area of finance most often in developing economies. The main types of polices discussed under this label typically involve reforming the domestic financial sector ; the liberalisation of stock markets ; allowing domestic firms to more free access international financial markets; and the liberalisation of the capital account ; a lowering of reserve requirements.