The Financial Development report 2012
.pdf2: Country/Economy Profiles
Sweden
Financial Development Index in detail |
|
|
ν Development Advantage |
ν Development Disadvantage |
||||
|
|
|
|
|
|
|
|
|
|
indicator |
rank/62 |
|
value |
best Performer |
Value |
||
|
1st pillar: Institutional environment |
|
|
|
|
|
|
|
|
Financial sector liberalization |
|
|
|
|
|
|
|
1.01 |
Capital account liberalization.......................................................... |
|
1 |
......ν |
...................7.0 |
Multiple (25).......................... |
7.0 |
|
1.02 |
Commitments to WTO Agreement on Trade in Services................. |
|
1. |
.....ν................... |
7.0 |
Multiple (17).......................... |
7.0 |
|
1.03 |
Domestic financial sector liberalization............................................ |
|
1. |
.....ν................... |
7.0 |
Multiple (24).......................... |
7.0 |
|
|
Corporate governance |
|
|
|
|
|
|
|
1.04 |
Extent of incentive-based compensation...................................... |
|
20. |
.....ν................... |
4.5 |
United Kingdom................... |
5.3 |
|
1.05 |
Efficacy of corporate boards........................................................... |
|
5. |
.....ν................... |
5.6 |
South Africa......................... |
5.8 |
|
1.06 |
Reliance on professional management........................................... |
|
4. |
.....ν................... |
6.1 |
Finland................................. |
6.3 |
|
1.07 |
Willingness to delegate .................................................................. |
|
2. |
.....ν................... |
6.0 |
Denmark.............................. |
6.2 |
|
1.08 |
Strength of auditing and reporting standards.................................. |
|
9. |
.....ν................... |
5.9 |
South Africa......................... |
6.6 |
|
1.09 |
Ethical behavior of firms................................................................. |
|
7. |
.....ν................... |
6.2 |
Finland................................. |
6.5 |
|
1.10 |
Protection of minority shareholders’ interests................................. |
|
4. |
.....ν................... |
5.6 |
Finland................................. |
6.1 |
|
|
Legal and regulatory issues |
|
|
|
|
|
|
|
1.11 |
Burden of government regulation................................................. |
|
10. |
.....ν................... |
4.0 |
Singapore............................. |
5.6 |
|
1.12 |
Regulation of securities exchanges................................................ |
|
9. |
.....ν................... |
5.6 |
South Africa......................... |
6.5 |
|
1.13 |
Property rights .............................................................................. |
|
9. |
.....ν................... |
5.9 |
Finland................................. |
6.5 |
|
1.14 |
Intellectual property protection....................................................... |
|
9. |
.....ν................... |
5.6 |
Finland................................. |
6.3 |
|
1.15 |
Diversion of public funds................................................................ |
|
5. |
.....ν................... |
6.0 |
Denmark.............................. |
6.3 |
|
1.16 |
Public trust in politicians ................................................................ |
|
5. |
.....ν................... |
5.5 |
Singapore............................. |
6.3 |
|
1.17 |
Corruption perceptions index......................................................... |
|
3. |
.....ν................... |
9.3 |
Finland................................. |
9.4 |
|
1.18 |
Strength of legal rights index........................................................ |
|
24. |
.....ν................... |
7.0 |
Multiple (6).......................... |
10.0 |
|
1.19 |
Central bank transparency............................................................. |
|
1. |
.....ν................. |
15.0 |
Sweden.............................. |
15.0 |
|
|
Contract enforcement |
|
|
|
|
|
|
|
1.20 |
Effectiveness of law-making bodies................................................ |
|
3. |
.....ν................... |
5.5 |
Singapore............................. |
6.4 |
|
1.21 |
Judicial independence.................................................................... |
|
8. |
.....ν................... |
6.2 |
Finland................................. |
6.5 |
|
1.22 |
Irregular payments in judicial decisions........................................... |
|
8. |
.....ν................... |
6.4 |
Denmark.............................. |
6.8 |
|
1.23 |
Time to enforce a contract........................................................... |
|
32. |
.....ν............... |
508.0 |
Singapore......................... |
150.0 |
|
1.24 |
Number of procedures to enforce a contract................................ |
|
13. |
.....ν................. |
30.0 |
Multiple (2).......................... |
21.0 |
|
1.25 |
Strength of investor protection index............................................ |
|
19. |
.....ν................... |
6.3 |
Singapore............................. |
9.3 |
|
1.26 |
Cost of enforcing contracts ......................................................... |
|
47. |
.....ν................. |
31.2 |
Norway................................ |
9.9 |
|
|
|
|
|
|
|
|
|
|
|
2nd pillar: Business environment |
|
|
|
|
|
|
|
|
Human capital |
|
|
|
|
|
|
|
2.01 |
Quality of management schools................................................... |
|
10. |
.....ν................... |
5.4 |
United Kingdom................... |
6.1 |
|
2.02 |
Quality of math and science education......................................... |
|
20. |
.....ν................... |
4.6 |
Singapore............................. |
6.3 |
|
2.03 |
Extent of staff training..................................................................... |
|
5. |
.....ν................... |
5.2 |
Switzerland.......................... |
5.6 |
|
2.04 |
Local availability of specialized research and training services |
......... 7. |
.....ν................... |
5.8 |
Switzerland.......................... |
6.4 |
|
|
2.05 |
Brain drain................................................................................... |
|
10. |
.....ν................... |
5.2 |
Switzerland.......................... |
6.3 |
|
2.06 |
Tertiary enrollment ...................................................................... |
|
11. |
.....ν................. |
73.8 |
Korea, Rep....................... |
103.1 |
|
|
Taxes |
|
|
|
|
|
|
|
2.07 |
Irregular payments in tax collection................................................. |
|
6. |
.....ν................... |
6.4 |
Finland................................. |
6.9 |
|
2.08 |
Distortive effect of taxes and subsidies on competition................... |
|
9. |
.....ν................... |
4.8 |
United Arab Emirates........... |
5.9 |
|
2.09 |
Marginal tax variation................................................................... |
|
44. |
.....ν................. |
10.6 |
Kuwait................................ |
-4.8 |
|
2.10 |
Time to pay taxes......................................................................... |
|
14. |
.....ν............... |
122.0 |
United Arab Emirates......... |
12.0 |
|
|
Infrastructure |
|
|
|
|
|
|
|
2.11 |
Quality of overall infrastructure ..................................................... |
|
17. |
.....ν................... |
5.8 |
Switzerland.......................... |
6.6 |
|
2.12 |
Quality of electricity supply........................................................... |
|
10. |
.....ν................... |
6.6 |
Netherlands.......................... |
6.8 |
|
2.13 |
Internet users ................................................................................ |
|
3. |
.....ν................. |
91.0 |
Norway.............................. |
94.0 |
|
2.14 |
Broadband Internet subscriptions................................................ |
|
11. |
.....ν................. |
31.8 |
Switzerland........................ |
39.2 |
|
2.15 |
Telephone subscriptions................................................................. |
|
9. |
.....ν................. |
48.7 |
Germany............................ |
63.1 |
|
2.16 |
Mobile telephone subscriptions ................................................... |
|
28. |
.....ν............... |
118.6 |
Hong Kong SAR............... |
209.6 |
|
(continued)
The Financial Development Report 2012 | 265
2: Country/Economy Profiles
Sweden
Financial Development Index in detail (continued) |
|
ν Development Advantage |
ν Development Disadvantage |
||||
|
|
|
|
|
|
|
|
|
indicator |
rank/62 |
|
value |
best Performer |
Value |
|
|
2nd pillar: Business environment (continued) |
|
|
|
|
|
|
|
Cost of doing business |
|
|
|
|
|
|
2.17 |
Cost of starting a business............................................................. |
5 |
......ν |
...................0.6 |
Denmark.............................. |
0.0 |
|
2.18 |
Cost of registering property ......................................................... |
31. |
.....ν................... |
4.3 |
Multiple (2)............................ |
0.0 |
|
2.19 |
Cost of closing a business........................................................... |
20. |
.....ν................... |
9.0 |
Multiple (4)............................ |
1.0 |
|
2.20 |
Time to start a business............................................................... |
33. |
.....ν................. |
15.0 |
Australia............................... |
2.0 |
|
2.21 |
Time to register property................................................................ |
9. |
.....ν................... |
7.0 |
Portugal............................... |
1.0 |
|
2.22 |
Time to close a business.............................................................. |
28. |
.....ν................... |
2.0 |
Ireland.................................. |
0.4 |
|
|
|
|
|
|
|
|
|
|
3rd pillar: Financial stability |
|
|
|
|
|
|
|
Currency stability |
|
|
|
|
|
|
3.01 |
Change in real effective exchange rate (REER)............................. |
41. |
.....ν................. |
-0.4 |
Brazil.................................... |
8.3 |
|
3.02 |
External vulnerability indicator...................................................... |
n/a. |
........................... |
n/a |
Saudi Arabia......................... |
9.3 |
|
3.03 |
Current account balance to GDP................................................... |
7. |
.....ν................... |
6.7 |
Kuwait................................ |
32.0 |
|
3.04 |
Dollarization vulnerability indicator.................................................. |
1. |
.....ν................... |
0.0 |
Multiple (25).......................... |
0.0 |
|
3.05 |
External debt to GDP (developing economies)............................. |
n/a. |
........................... |
n/a |
China................................... |
9.6 |
|
3.06Net international investment position to GDP
|
(advanced economies)................................................................. |
12...... |
ν |
................. -7.0 |
Hong Kong SAR............... |
287.7 |
|
Banking system stability |
|
|
|
|
|
3.07 |
Frequency of banking crises......................................................... |
56...... |
ν |
...................3.0 |
Multiple (9)............................ |
0.0 |
3.08 |
Financial strengths indicator........................................................... |
9...... |
ν................... |
6.0 |
Multiple (3)............................ |
9.0 |
3.09 |
Aggregate measure of real estate bubbles...................................... |
4...... |
ν................... |
6.7 |
Ireland.................................. |
6.9 |
3.10 |
Tier 1 capital ratio......................................................................... |
42...... |
ν................. |
10.9 |
Ghana................................ |
22.7 |
3.11 |
Output loss during banking crises................................................ |
51...... |
ν................. |
82.9 |
Multiple (20).......................... |
0.0 |
|
Risk of sovereign debt crisis |
|
|
|
|
|
3.12 |
Local currency sovereign rating...................................................... |
1...... |
ν................. |
20.0 |
Multiple (10)........................ |
20.0 |
3.13 |
Foreign currency sovereign rating................................................... |
1...... |
ν................. |
20.0 |
Multiple (10)........................ |
20.0 |
3.14 |
Aggregate macroeconomic indicator............................................ |
23...... |
ν................... |
5.4 |
Peru..................................... |
6.4 |
3.15 |
Manageability of public debt ........................................................ |
20...... |
ν................. |
38.4 |
Kuwait.................................. |
6.2 |
3.16 |
Credit default swap spreads........................................................... |
5...... |
ν................. |
55.5 |
Norway.............................. |
36.2 |
|
|
|
|
|
|
|
|
4th pillar: Banking financial services |
|
|
|
|
|
|
Size index |
|
|
|
|
|
4.01 |
Deposit money bank assets to GDP............................................. |
12...... |
ν............... |
138.7 |
Ireland.............................. |
245.1 |
4.02 |
Central bank assets to GDP........................................................ |
n/a............................ |
|
n/a |
Brazil.................................. |
18.3 |
4.03 |
Financial system deposits to GDP................................................ |
35...... |
ν................. |
55.9 |
Hong Kong SAR............... |
305.8 |
4.04 |
M2 to GDP................................................................................... |
34...... |
ν................. |
59.3 |
Hong Kong SAR............... |
320.5 |
4.05 |
Private credit to GDP.................................................................... |
12...... |
ν............... |
133.4 |
Denmark.......................... |
229.8 |
4.06 |
Bank deposits to GDP................................................................. |
36...... |
ν................. |
56.6 |
Hong Kong SAR............... |
305.8 |
4.07 |
Money market instruments to GDP................................................ |
3...... |
ν................... |
8.2 |
Ireland................................ |
18.6 |
|
Efficiency index |
|
|
|
|
|
4.08 |
Aggregate profitability indicator.................................................... |
17...... |
ν................... |
5.2 |
Czech Republic.................... |
6.0 |
4.09 |
Bank overhead costs..................................................................... |
6...... |
ν................... |
1.0 |
Finland................................. |
0.6 |
4.10 |
Public ownership of banks........................................................... |
26...... |
ν................... |
2.3 |
Multiple (22).......................... |
0.0 |
4.11 |
Bank operating costs to assets...................................................... |
1...... |
ν................... |
0.8 |
Sweden................................ |
0.8 |
4.12 |
Non-performing bank loans to total loans..................................... |
13...... |
ν................... |
2.0 |
Finland................................. |
0.5 |
|
Financial information disclosure |
|
|
|
|
|
4.13 |
Private credit bureau coverage ...................................................... |
1...... |
ν............... |
100.0 |
Multiple (12)...................... |
100.0 |
4.14 |
Public credit registry coverage ..................................................... |
26...... |
ν................... |
0.0 |
Portugal............................. |
86.2 |
|
|
|
|
|
|
|
|
5th pillar: Non-banking financial services |
|
|
|
|
|
|
IPO activity |
|
|
|
|
|
5.01 |
IPO market share ........................................................................ |
35...... |
ν................... |
0.1 |
China................................. |
37.8 |
5.02 |
IPO proceeds amount ................................................................. |
44...... |
ν................... |
0.0 |
Hong Kong SAR................... |
5.1 |
5.03 |
Share of world IPOs..................................................................... |
26...... |
ν................... |
0.4 |
China................................. |
30.2 |
(continued)
266 | The Financial Development Report 2012
2: Country/Economy Profiles
Sweden
Financial Development Index in detail (continued) |
|
ν Development Advantage |
ν Development Disadvantage |
||||
|
|
|
|
|
|
|
|
|
indicator |
rank/62 |
|
value |
best Performer |
Value |
|
|
5th pillar: Non-banking financial services (continued) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
M&A activity |
|
|
|
|
|
|
5.04 |
M&A market share ...................................................................... |
17 |
......ν |
...................0.9 |
United States..................... |
34.4 |
|
5.05 |
M&A transaction value to GDP..................................................... |
14. |
.....ν................... |
4.8 |
Hong Kong SAR................... |
9.9 |
|
5.06 |
Share of total number of M&A deals............................................. |
13. |
.....ν................... |
2.0 |
United States..................... |
23.3 |
|
|
Insurance |
|
|
|
|
|
|
5.07 |
Life insurance penetration............................................................ |
10. |
.....ν................... |
5.9 |
Ireland................................ |
19.8 |
|
5.08 |
Non-life insurance penetration...................................................... |
31. |
.....ν................... |
1.9 |
Netherlands.......................... |
9.5 |
|
5.09 |
Real growth of direct insurance premiums.................................... |
46. |
.....ν................. |
-3.5 |
Argentina............................ |
21.9 |
|
5.10 |
Life insurance density................................................................... |
27. |
.....ν................... |
0.6 |
India................................... |
43.5 |
|
5.11 |
Non-life insurance density............................................................ |
47. |
.....ν................... |
0.2 |
China................................. |
16.1 |
|
5.12 |
Relative value added of insurance to GDP.................................... |
28. |
.....ν................... |
1.2 |
Bahrain................................. |
6.0 |
|
|
Securitization |
|
|
|
|
|
|
5.13 |
Securitization to GDP ................................................................. |
46. |
.....ν................... |
0.2 |
United States....................... |
5.1 |
|
5.14 |
Share of total number of securitization deals................................ |
30. |
.....ν................... |
0.2 |
United States..................... |
53.6 |
|
|
|
|
|
|
|
|
|
|
6th pillar: Financial markets |
|
|
|
|
|
|
|
Foreign exchange markets |
|
|
|
|
|
|
6.01 |
Spot foreign exchange turnover .................................................. |
15. |
.....ν................... |
0.7 |
United Kingdom................. |
38.5 |
|
6.02 |
Outright forward foreign exchange turnover ................................. |
21. |
.....ν................... |
0.4 |
United Kingdom................. |
41.3 |
|
6.03 |
Foreign exchange swap turnover ............................................... |
13. |
.....ν................... |
1.3 |
United Kingdom................. |
33.3 |
|
|
Derivatives markets |
|
|
|
|
|
|
6.04 |
Interest rate derivatives turnover: Forward rate agreements............ |
7. |
.....ν................... |
0.9 |
United Kingdom................. |
48.4 |
|
6.05 |
Interest rate derivatives turnover: Swaps ..................................... |
17. |
.....ν................... |
0.5 |
United Kingdom................. |
45.3 |
|
6.06 |
Interest rate derivatives turnover: Options ...................................... |
6. |
.....ν................... |
1.4 |
United Kingdom................. |
50.4 |
|
6.07 |
Foreign exchange derivatives turnover: Currency swaps.............. |
25. |
.....ν................... |
0.2 |
United Kingdom................. |
32.1 |
|
6.08 |
Foreign exchange derivatives turnover: Options........................... |
12. |
.....ν................... |
0.7 |
United Kingdom................. |
55.3 |
|
|
Equity market development |
|
|
|
|
|
|
6.09 |
Stock market turnover ratio.......................................................... |
21. |
.....ν................. |
91.7 |
Turkey.............................. |
237.9 |
|
6.10 |
Stock market capitalization to GDP.............................................. |
11. |
.....ν............... |
112.0 |
Hong Kong SAR............... |
440.2 |
|
6.11 |
Stock market value traded to GDP............................................... |
11. |
.....ν................. |
92.1 |
Hong Kong SAR............... |
681.5 |
|
6.12 |
Number of listed companies per 10,000 people........................... |
13. |
.....ν................... |
0.4 |
Hong Kong SAR................... |
2.0 |
|
|
Bond market development |
|
|
|
|
|
|
6.13 |
Private domestic bond market capitalization to GDP.................... |
10. |
.....ν................. |
52.3 |
Denmark.......................... |
177.2 |
|
6.14 |
Public domestic bond market capitalization to GDP..................... |
32. |
.....ν................. |
24.4 |
Japan............................... |
208.5 |
|
6.15 |
Private international bonds to GDP................................................. |
8. |
.....ν................. |
71.8 |
Ireland.............................. |
202.8 |
|
6.16 |
Public international bonds to GDP................................................ |
20. |
.....ν................... |
6.8 |
Greece............................... |
70.8 |
|
6.17 |
Local currency corporate bond issuance to GDP........................... |
9. |
.....ν................... |
1.3 |
Malaysia............................... |
4.9 |
|
|
|
|
|
|
|
|
|
|
7th pillar: Financial access |
|
|
|
|
|
|
|
Commercial access |
|
|
|
|
|
|
7.01 |
Financial market sophistication..................................................... |
14...... |
ν................... |
6.0 |
United Kingdom................... |
6.8 |
|
7.02 |
Venture capital availability............................................................... |
4...... |
ν................... |
4.4 |
Hong Kong SAR................... |
4.5 |
|
7.03 |
Ease of access to credit ................................................................ |
9...... |
ν................... |
4.6 |
Hong Kong SAR................... |
5.0 |
|
7.04 |
Financing through local equity market............................................ |
8...... |
ν................... |
4.8 |
Hong Kong SAR................... |
5.7 |
|
7.05 |
Ease of access to loans................................................................. |
3...... |
ν................... |
4.6 |
Bahrain................................. |
4.8 |
|
7.06 |
Foreign direct investment to GDP................................................. |
32...... |
ν................... |
2.2 |
Hong Kong SAR................. |
34.2 |
|
|
Retail access |
|
|
|
|
|
|
7.07 |
Market penetration of bank accounts............................................. |
4...... |
ν................. |
99.0 |
Denmark............................ |
99.7 |
|
7.08 |
Commercial bank branches ........................................................ |
n/a............................ |
|
n/a |
Portugal............................. |
75.9 |
|
7.09 |
Total number of ATMs................................................................. |
n/a............................ |
|
n/a |
Korea, Rep....................... |
250.3 |
|
7.10 |
Debit card penetration.................................................................... |
2...... |
ν................. |
95.5 |
Netherlands........................ |
97.6 |
|
7.11 |
Loan accounts at MFIs................................................................ |
n/a............................ |
|
n/a |
Peru................................. |
121.2 |
|
7.12 |
Loan from a financial institution...................................................... |
2...... |
ν................. |
23.4 |
Finland............................... |
23.9 |
|
|
|
|
|
|
|
|
|
The Financial Development Report 2012 | 267
2: Country/Economy Profiles
Switzerland
Key indicators
Population (millions), 2011..................................................................... |
7.8 |
GDP (US$ billions), 2011................................................................... |
636.1 |
GDP (current prices) per capita, 2011.......................................... |
81,160.6 |
GDP (PPP) as share (%) of world total, 2011....................................... |
0.43 |
Compound annual growth rate of real GDP (%), 2007—2011............. |
0.94 |
Financial assets by major type, 2010
6.8%
21.5%
41.8%
29.9%
Total/GDP 556.9%
|
|
US$ bn |
|
|
|
|
Public debt securities |
200.1 |
|
||
|
Private debt securities |
630.8 |
|
||
|
Banking deposits |
879.7 |
|
||
|
Equity securities |
1,229.4 |
|
||
|
|
|
|
Total |
2,940.0 |
|
|
|
Financial Development Index 2012
|
Rank (out of 62) |
Score (1—7 scale) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2012 Index |
8 |
4.8 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
1 |
2 |
3 |
4 |
5 |
|
6 |
7 |
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
inputs |
|
Factors, policies, and institutions |
|
|
|
|
|
|
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
1st pillar: Institutional environment |
12 |
5.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Financial sector liberalization |
20 |
6.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Corporate governance |
8 |
5.5 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Legal and regulatory issues |
3 |
5.8 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Contract enforcement |
20 |
5.0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
2nd pillar: Business environment |
6 |
5.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Human capital |
2 |
5.8 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Taxes |
23 |
5.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Infrastructure |
2 |
6.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Cost of doing business |
13 |
5.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
3rd pillar: Financial stability |
2 |
6.0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Currency stability |
1 |
6.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Banking system stability |
7 |
5.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Risk of sovereign debt crisis |
3 |
6.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
2 |
3 |
4 |
5 |
|
6 |
7 |
Financial intermediation
4th pillar: Banking financial services |
16 |
4.5 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Size index |
8 |
4.8 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Efficiency index |
30 |
5.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Financial information disclosure |
45 |
1.8 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|||
5th pillar: Non-banking financial services |
15 |
3.1 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
IPO Activity |
14 |
2.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
M&A Activity |
12 |
4.0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Insurance |
6 |
4.1 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Securitization |
37 |
1.5 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|||
6th pillar: Financial markets |
7 |
4.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Foreign exchange markets |
6 |
4.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Derivatives markets |
14 |
4.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Equity market development |
6 |
5.1 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Bond market development |
21 |
3.1 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
2 |
3 |
4 |
5 |
6 |
7 |
Financial access
7th pillar: Financial access. |
................................................................. 24 |
4.0 |
Commercial access........................................................................ |
20 |
4.0 |
Retail access................................................................................. |
n/a |
n/a |
1 |
2 |
3 |
4 |
5 |
6 |
7 |
outputs |
|
|
|
|
|
|
|
Note: For further details and explanation, please refer to “How Read the Country/Economy Profiles.”
268 | The Financial Development Report 2012
2: Country/Economy Profiles
Switzerland
Financial Development Index in detail |
|
|
ν Development Advantage |
ν Development Disadvantage |
||||
|
|
|
|
|
|
|
|
|
|
indicator |
rank/62 |
|
value |
best Performer |
Value |
||
|
1st pillar: Institutional environment |
|
|
|
|
|
|
|
|
Financial sector liberalization |
|
|
|
|
|
|
|
1.01 |
Capital account liberalization.......................................................... |
|
1 |
......ν |
...................7.0 |
Multiple (25).......................... |
7.0 |
|
1.02 |
Commitments to WTO Agreement on Trade in Services................. |
|
1. |
.....ν................... |
7.0 |
Multiple (17).......................... |
7.0 |
|
1.03 |
Domestic financial sector liberalization.......................................... |
|
33. |
.....ν................... |
5.2 |
Multiple (24).......................... |
7.0 |
|
|
Corporate governance |
|
|
|
|
|
|
|
1.04 |
Extent of incentive-based compensation........................................ |
|
7. |
.....ν................... |
5.1 |
United Kingdom................... |
5.3 |
|
1.05 |
Efficacy of corporate boards........................................................... |
|
6. |
.....ν................... |
5.5 |
South Africa......................... |
5.8 |
|
1.06 |
Reliance on professional management........................................... |
|
5. |
.....ν................... |
6.0 |
Finland................................. |
6.3 |
|
1.07 |
Willingness to delegate .................................................................. |
|
7. |
.....ν................... |
5.2 |
Denmark.............................. |
6.2 |
|
1.08 |
Strength of auditing and reporting standards................................ |
|
15. |
.....ν................... |
5.5 |
South Africa......................... |
6.6 |
|
1.09 |
Ethical behavior of firms................................................................. |
|
4. |
.....ν................... |
6.4 |
Finland................................. |
6.5 |
|
1.10 |
Protection of minority shareholders’ interests............................... |
|
22. |
.....ν................... |
4.8 |
Finland................................. |
6.1 |
|
|
Legal and regulatory issues |
|
|
|
|
|
|
|
1.11 |
Burden of government regulation................................................... |
|
7. |
.....ν................... |
4.3 |
Singapore............................. |
5.6 |
|
1.12 |
Regulation of securities exchanges................................................ |
|
8. |
.....ν................... |
5.6 |
South Africa......................... |
6.5 |
|
1.13 |
Property rights .............................................................................. |
|
2. |
.....ν................... |
6.4 |
Finland................................. |
6.5 |
|
1.14 |
Intellectual property protection....................................................... |
|
3. |
.....ν................... |
6.0 |
Finland................................. |
6.3 |
|
1.15 |
Diversion of public funds................................................................ |
|
4. |
.....ν................... |
6.0 |
Denmark.............................. |
6.3 |
|
1.16 |
Public trust in politicians ................................................................ |
|
7. |
.....ν................... |
5.2 |
Singapore............................. |
6.3 |
|
1.17 |
Corruption perceptions index......................................................... |
|
8. |
.....ν................... |
8.8 |
Finland................................. |
9.4 |
|
1.18 |
Strength of legal rights index........................................................ |
|
17. |
.....ν................... |
8.0 |
Multiple (6).......................... |
10.0 |
|
1.19 |
Central bank transparency........................................................... |
|
19. |
.....ν................. |
10.5 |
Sweden.............................. |
15.0 |
|
|
Contract enforcement |
|
|
|
|
|
|
|
1.20 |
Effectiveness of law-making bodies................................................ |
|
9. |
.....ν................... |
4.9 |
Singapore............................. |
6.4 |
|
1.21 |
Judicial independence.................................................................... |
|
5. |
.....ν................... |
6.3 |
Finland................................. |
6.5 |
|
1.22 |
Irregular payments in judicial decisions........................................... |
|
4. |
.....ν................... |
6.5 |
Denmark.............................. |
6.8 |
|
1.23 |
Time to enforce a contract........................................................... |
|
12. |
.....ν............... |
390.0 |
Singapore......................... |
150.0 |
|
1.24 |
Number of procedures to enforce a contract................................ |
|
21. |
.....ν................. |
32.0 |
Multiple (2).......................... |
21.0 |
|
1.25 |
Strength of investor protection index............................................ |
|
60. |
.....ν................... |
3.0 |
Singapore............................. |
9.3 |
|
1.26 |
Cost of enforcing contracts ......................................................... |
|
30. |
.....ν................. |
24.0 |
Norway................................ |
9.9 |
|
|
|
|
|
|
|
|
|
|
|
2nd pillar: Business environment |
|
|
|
|
|
|
|
|
Human capital |
|
|
|
|
|
|
|
2.01 |
Quality of management schools..................................................... |
|
3. |
.....ν................... |
6.0 |
United Kingdom................... |
6.1 |
|
2.02 |
Quality of math and science education........................................... |
|
4. |
.....ν................... |
5.8 |
Singapore............................. |
6.3 |
|
2.03 |
Extent of staff training..................................................................... |
|
1. |
.....ν................... |
5.6 |
Switzerland.......................... |
5.6 |
|
2.04 |
Local availability of specialized research and training services |
......... 1. |
.....ν................... |
6.4 |
Switzerland.......................... |
6.4 |
|
|
2.05 |
Brain drain..................................................................................... |
|
1. |
.....ν................... |
6.3 |
Switzerland.......................... |
6.3 |
|
2.06 |
Tertiary enrollment ...................................................................... |
|
32. |
.....ν................. |
54.8 |
Korea, Rep....................... |
103.1 |
|
|
Taxes |
|
|
|
|
|
|
|
2.07 |
Irregular payments in tax collection................................................. |
|
9. |
.....ν................... |
6.3 |
Finland................................. |
6.9 |
|
2.08 |
Distortive effect of taxes and subsidies on competition................. |
|
13. |
.....ν................... |
4.6 |
United Arab Emirates........... |
5.9 |
|
2.09 |
Marginal tax variation................................................................... |
|
54. |
.....ν................. |
15.1 |
Kuwait................................ |
-4.8 |
|
2.10 |
Time to pay taxes........................................................................... |
|
3. |
.....ν................. |
63.0 |
United Arab Emirates......... |
12.0 |
|
|
Infrastructure |
|
|
|
|
|
|
|
2.11 |
Quality of overall infrastructure ....................................................... |
|
1. |
.....ν................... |
6.6 |
Switzerland.......................... |
6.6 |
|
2.12 |
Quality of electricity supply............................................................. |
|
3. |
.....ν................... |
6.8 |
Netherlands.......................... |
6.8 |
|
2.13 |
Internet users ................................................................................ |
|
6. |
.....ν................. |
85.2 |
Norway.............................. |
94.0 |
|
2.14 |
Broadband Internet subscriptions.................................................. |
|
1. |
.....ν................. |
39.2 |
Switzerland........................ |
39.2 |
|
2.15 |
Telephone subscriptions................................................................. |
|
4. |
.....ν................. |
60.8 |
Germany............................ |
63.1 |
|
2.16 |
Mobile telephone subscriptions ................................................... |
|
16. |
.....ν............... |
130.1 |
Hong Kong SAR............... |
209.6 |
|
(continued)
The Financial Development Report 2012 | 269
2: Country/Economy Profiles
Switzerland
Financial Development Index in detail (continued) |
|
ν Development Advantage |
ν Development Disadvantage |
||||
|
|
|
|
|
|
|
|
|
indicator |
rank/62 |
|
value |
best Performer |
Value |
|
|
2nd pillar: Business environment (continued) |
|
|
|
|
|
|
|
Cost of doing business |
|
|
|
|
|
|
2.17 |
Cost of starting a business........................................................... |
19 |
......ν |
...................2.1 |
Denmark.............................. |
0.0 |
|
2.18 |
Cost of registering property ........................................................... |
5. |
.....ν................... |
0.4 |
Multiple (2)............................ |
0.0 |
|
2.19 |
Cost of closing a business............................................................. |
5. |
.....ν................... |
4.0 |
Multiple (4)............................ |
1.0 |
|
2.20 |
Time to start a business............................................................... |
35. |
.....ν................. |
18.0 |
Australia............................... |
2.0 |
|
2.21 |
Time to register property.............................................................. |
18. |
.....ν................. |
16.0 |
Portugal............................... |
1.0 |
|
2.22 |
Time to close a business.............................................................. |
41. |
.....ν................... |
3.0 |
Ireland.................................. |
0.4 |
|
|
|
|
|
|
|
|
|
|
3rd pillar: Financial stability |
|
|
|
|
|
|
|
Currency stability |
|
|
|
|
|
|
3.01 |
Change in real effective exchange rate (REER)............................. |
13. |
.....ν................... |
3.1 |
Brazil.................................... |
8.3 |
|
3.02 |
External vulnerability indicator...................................................... |
n/a. |
........................... |
n/a |
Saudi Arabia......................... |
9.3 |
|
3.03 |
Current account balance to GDP................................................... |
4. |
.....ν................. |
13.5 |
Kuwait................................ |
32.0 |
|
3.04 |
Dollarization vulnerability indicator.................................................. |
1. |
.....ν................... |
0.0 |
Multiple (25).......................... |
0.0 |
|
3.05 |
External debt to GDP (developing economies)............................. |
n/a. |
........................... |
n/a |
China................................... |
9.6 |
|
3.06Net international investment position to GDP
|
(advanced economies)................................................................... |
3...... |
ν............... |
156.9 |
Hong Kong SAR............... |
287.7 |
|
Banking system stability |
|
|
|
|
|
3.07 |
Frequency of banking crises......................................................... |
36...... |
ν................... |
2.0 |
Multiple (9)............................ |
0.0 |
3.08 |
Financial strengths indicator........................................................... |
5...... |
ν................... |
7.0 |
Multiple (3)............................ |
9.0 |
3.09 |
Aggregate measure of real estate bubbles.................................... |
37...... |
ν................... |
4.7 |
Ireland.................................. |
6.9 |
3.10 |
Tier 1 capital ratio........................................................................... |
7...... |
ν................. |
18.1 |
Ghana................................ |
22.7 |
3.11 |
Output loss during banking crises.................................................. |
1...... |
ν................... |
0.0 |
Multiple (20).......................... |
0.0 |
|
Risk of sovereign debt crisis |
|
|
|
|
|
3.12 |
Local currency sovereign rating...................................................... |
1...... |
ν................. |
20.0 |
Multiple (10)........................ |
20.0 |
3.13 |
Foreign currency sovereign rating................................................... |
1...... |
ν................. |
20.0 |
Multiple (10)........................ |
20.0 |
3.14 |
Aggregate macroeconomic indicator............................................ |
13...... |
ν................... |
5.6 |
Peru..................................... |
6.4 |
3.15 |
Manageability of public debt ........................................................ |
19...... |
ν................. |
36.5 |
Kuwait.................................. |
6.2 |
3.16 |
Credit default swap spreads........................................................... |
4...... |
ν................. |
55.0 |
Norway.............................. |
36.2 |
|
|
|
|
|
|
|
|
4th pillar: Banking financial services |
|
|
|
|
|
|
Size index |
|
|
|
|
|
4.01 |
Deposit money bank assets to GDP............................................... |
8...... |
ν............... |
186.0 |
Ireland.............................. |
245.1 |
4.02 |
Central bank assets to GDP......................................................... |
43...... |
ν................... |
0.3 |
Brazil.................................. |
18.3 |
4.03 |
Financial system deposits to GDP.................................................. |
5...... |
ν............... |
145.9 |
Hong Kong SAR............... |
305.8 |
4.04 |
M2 to GDP..................................................................................... |
4...... |
ν............... |
166.1 |
Hong Kong SAR............... |
320.5 |
4.05 |
Private credit to GDP...................................................................... |
9...... |
ν............... |
172.2 |
Denmark.......................... |
229.8 |
4.06 |
Bank deposits to GDP................................................................... |
5...... |
ν............... |
145.9 |
Hong Kong SAR............... |
305.8 |
4.07 |
Money market instruments to GDP.............................................. |
27...... |
ν................... |
0.0 |
Ireland................................ |
18.6 |
|
Efficiency index |
|
|
|
|
|
4.08 |
Aggregate profitability indicator.................................................... |
57...... |
ν................... |
3.0 |
Czech Republic.................... |
6.0 |
4.09 |
Bank overhead costs................................................................... |
31...... |
ν................... |
2.0 |
Finland................................. |
0.6 |
4.10 |
Public ownership of banks........................................................... |
33...... |
ν................... |
5.0 |
Multiple (22).......................... |
0.0 |
4.11 |
Bank operating costs to assets.................................................... |
26...... |
ν................... |
1.7 |
Sweden................................ |
0.8 |
4.12 |
Non-performing bank loans to total loans....................................... |
4...... |
ν................... |
0.9 |
Finland................................. |
0.5 |
|
Financial information disclosure |
|
|
|
|
|
4.13 |
Private credit bureau coverage .................................................... |
37...... |
ν................. |
27.3 |
Multiple (12)...................... |
100.0 |
4.14 |
Public credit registry coverage ..................................................... |
26...... |
ν................... |
0.0 |
Portugal............................. |
86.2 |
|
|
|
|
|
|
|
|
5th pillar: Non-banking financial services |
|
|
|
|
|
|
IPO activity |
|
|
|
|
|
5.01 |
IPO market share ........................................................................ |
11...... |
ν................... |
1.9 |
China................................. |
37.8 |
5.02 |
IPO proceeds amount ................................................................... |
6...... |
ν................... |
0.6 |
Hong Kong SAR................... |
5.1 |
5.03 |
Share of world IPOs..................................................................... |
41...... |
ν................... |
0.1 |
China................................. |
30.2 |
(continued)
270 | The Financial Development Report 2012
2: Country/Economy Profiles
Switzerland
Financial Development Index in detail (continued) |
|
ν Development Advantage |
ν Development Disadvantage |
||||
|
|
|
|
|
|
|
|
|
indicator |
rank/62 |
|
value |
best Performer |
Value |
|
|
5th pillar: Non-banking financial services (continued) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
M&A activity |
|
|
|
|
|
|
5.04 |
M&A market share ...................................................................... |
15 |
......ν |
...................1.8 |
United States..................... |
34.4 |
|
5.05 |
M&A transaction value to GDP....................................................... |
3. |
.....ν................... |
8.0 |
Hong Kong SAR................... |
9.9 |
|
5.06 |
Share of total number of M&A deals............................................. |
21. |
.....ν................... |
0.8 |
United States..................... |
23.3 |
|
|
Insurance |
|
|
|
|
|
|
5.07 |
Life insurance penetration............................................................ |
11. |
.....ν................... |
5.5 |
Ireland................................ |
19.8 |
|
5.08 |
Non-life insurance penetration........................................................ |
4. |
.....ν................... |
4.5 |
Netherlands.......................... |
9.5 |
|
5.09 |
Real growth of direct insurance premiums.................................... |
32. |
.....ν................... |
2.2 |
Argentina............................ |
21.9 |
|
5.10 |
Life insurance density................................................................... |
30. |
.....ν................... |
0.4 |
India................................... |
43.5 |
|
5.11 |
Non-life insurance density............................................................ |
34. |
.....ν................... |
0.4 |
China................................. |
16.1 |
|
5.12 |
Relative value added of insurance to GDP...................................... |
5. |
.....ν................... |
3.1 |
Bahrain................................. |
6.0 |
|
|
Securitization |
|
|
|
|
|
|
5.13 |
Securitization to GDP ................................................................. |
38. |
.....ν................... |
0.3 |
United States....................... |
5.1 |
|
5.14 |
Share of total number of securitization deals................................ |
26. |
.....ν................... |
0.2 |
United States..................... |
53.6 |
|
|
|
|
|
|
|
|
|
|
6th pillar: Financial markets |
|
|
|
|
|
|
|
Foreign exchange markets |
|
|
|
|
|
|
6.01 |
Spot foreign exchange turnover .................................................... |
5. |
.....ν................... |
3.4 |
United Kingdom................. |
38.5 |
|
6.02 |
Outright forward foreign exchange turnover ................................... |
6. |
.....ν................... |
2.0 |
United Kingdom................. |
41.3 |
|
6.03 |
Foreign exchange swap turnover ................................................. |
3. |
.....ν................... |
7.8 |
United Kingdom................. |
33.3 |
|
|
Derivatives markets |
|
|
|
|
|
|
6.04 |
Interest rate derivatives turnover: Forward rate agreements............ |
4. |
.....ν................... |
2.5 |
United Kingdom................. |
48.4 |
|
6.05 |
Interest rate derivatives turnover: Swaps ....................................... |
6. |
.....ν................... |
3.6 |
United Kingdom................. |
45.3 |
|
6.06 |
Interest rate derivatives turnover: Options .................................... |
26. |
.....ν................... |
0.0 |
United Kingdom................. |
50.4 |
|
6.07 |
Foreign exchange derivatives turnover: Currency swaps.............. |
35. |
.....ν................... |
0.0 |
United Kingdom................. |
32.1 |
|
6.08 |
Foreign exchange derivatives turnover: Options............................. |
5. |
.....ν................... |
3.4 |
United Kingdom................. |
55.3 |
|
|
Equity market development |
|
|
|
|
|
|
6.09 |
Stock market turnover ratio.......................................................... |
29. |
.....ν................. |
77.3 |
Turkey.............................. |
237.9 |
|
6.10 |
Stock market capitalization to GDP................................................ |
3. |
.....ν............... |
221.9 |
Hong Kong SAR............... |
440.2 |
|
6.11 |
Stock market value traded to GDP................................................. |
4. |
.....ν............... |
160.7 |
Hong Kong SAR............... |
681.5 |
|
6.12 |
Number of listed companies per 10,000 people........................... |
17. |
.....ν................... |
0.3 |
Hong Kong SAR................... |
2.0 |
|
|
Bond market development |
|
|
|
|
|
|
6.13 |
Private domestic bond market capitalization to GDP.................... |
18. |
.....ν................. |
27.3 |
Denmark.......................... |
177.2 |
|
6.14 |
Public domestic bond market capitalization to GDP..................... |
37. |
.....ν................. |
19.6 |
Japan............................... |
208.5 |
|
6.15 |
Private international bonds to GDP................................................. |
7. |
.....ν................. |
73.4 |
Ireland.............................. |
202.8 |
|
6.16 |
Public international bonds to GDP................................................ |
49. |
.....ν................... |
0.1 |
Greece............................... |
70.8 |
|
6.17 |
Local currency corporate bond issuance to GDP......................... |
10. |
.....ν................... |
1.2 |
Malaysia............................... |
4.9 |
|
|
|
|
|
|
|
|
|
|
7th pillar: Financial access |
|
|
|
|
|
|
|
Commercial access |
|
|
|
|
|
|
7.01 |
Financial market sophistication....................................................... |
2. |
.....ν................... |
6.7 |
United Kingdom................... |
6.8 |
|
7.02 |
Venture capital availability............................................................. |
15. |
.....ν................... |
3.6 |
Hong Kong SAR................... |
4.5 |
|
7.03 |
Ease of access to credit .............................................................. |
24. |
.....ν................... |
4.1 |
Hong Kong SAR................... |
5.0 |
|
7.04 |
Financing through local equity market.......................................... |
12. |
.....ν................... |
4.7 |
Hong Kong SAR................... |
5.7 |
|
7.05 |
Ease of access to loans............................................................... |
18. |
.....ν................... |
3.7 |
Bahrain................................. |
4.8 |
|
7.06 |
Foreign direct investment to GDP................................................. |
61. |
.....ν................... |
0.0 |
Hong Kong SAR................. |
34.2 |
|
|
Retail access |
|
|
|
|
|
|
7.07 |
Market penetration of bank accounts.......................................... |
n/a. |
........................... |
n/a |
Denmark............................ |
99.7 |
|
7.08 |
Commercial bank branches ........................................................ |
n/a. |
........................... |
n/a |
Portugal............................. |
75.9 |
|
7.09 |
Total number of ATMs.................................................................. |
14. |
.....ν................. |
97.5 |
Korea, Rep....................... |
250.3 |
|
7.10 |
Debit card penetration................................................................. |
n/a. |
........................... |
n/a |
Netherlands........................ |
97.6 |
|
7.11 |
Loan accounts at MFIs................................................................ |
n/a. |
........................... |
n/a |
Peru................................. |
121.2 |
|
7.12 |
Loan from a financial institution................................................... |
n/a. |
........................... |
n/a |
Finland............................... |
23.9 |
|
|
|
|
|
|
|
|
|
The Financial Development Report 2012 | 271
2: Country/Economy Profiles
Tanzania
Key indicators
Population (millions), 2011................................................................... |
42.2 |
GDP (US$ billions), 2011..................................................................... |
23.3 |
GDP (current prices) per capita, 2011............................................... |
553.2 |
GDP (PPP) as share (%) of world total, 2011....................................... |
0.08 |
Compound annual growth rate of real GDP (%), 2007—2011............. |
5.41 |
Financial assets by major type, 2010
8.2% |
US$ bn |
|
|
|
|
Public debt securities |
7.9 |
|
|
|
||
51.5% |
|
|
Private debt securities |
0.0 |
|
|
|||
|
|
Banking deposits |
6.2 |
|
|
||||
40.3% |
|
|
Equity securities |
1.3 |
|
|
|
||
|
|
|
|
|
|
|
|
Total |
15.4 |
Total/GDP 68.2%
Financial Development Index 2012
|
Rank (out of 62) |
Score (1—7 scale) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
2012 Index |
60 |
2.5 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
1 |
|
|
2 |
3 |
4 |
5 |
6 |
7 |
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
inputs |
|
Factors, policies, and institutions |
|
|
|
|
|
|
|
|
|
|
|
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
1st pillar: Institutional environment |
57 |
3.1 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Financial sector liberalization |
60 |
1.1 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Corporate governance |
51 |
3.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Legal and regulatory issues |
42 |
3.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Contract enforcement |
37 |
4.1 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
2nd pillar: Business environment |
59 |
3.0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Human capital |
60 |
3.0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Taxes |
43 |
4.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Infrastructure |
61 |
1.5 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Cost of doing business |
54 |
3.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
3rd pillar: Financial stability |
5 |
5.5 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Currency stability........................................................................... |
n/a |
n/a |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Banking system stability |
6 |
5.5 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Risk of sovereign debt crisis.......................................................... |
n/a |
n/a |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1 |
|
|
2 |
3 |
4 |
5 |
6 |
7 |
Financial intermediation
4th pillar: Banking financial services |
61 |
1.9 |
|
|
|
|
|
|
|
|
|||
|
|
|
|
|||
Size index |
57 |
1.2 |
|
|
|
|
|
|
|
|
|||
|
|
|
|
|||
Efficiency index |
59 |
3.0 |
|
|
|
|
|
|
|
|
|||
Financial information disclosure |
61 |
1.0 |
|
|
|
|
|
|
|
|
|||
|
|
|
|
|||
5th pillar: Non-banking financial services |
62 |
1.0 |
|
|
|
|
|
|
|
|
|||
|
|
|
|
|||
IPO Activity |
54 |
1.0 |
|
|
|
|
|
|
|
|
|||
|
|
|
|
|||
M&A Activity |
59 |
1.0 |
|
|
|
|
|
|
|
|
|||
|
|
|
|
|||
Insurance...................................................................................... |
n/a |
n/a |
|
|
|
|
Securitization................................................................................. |
n/a |
n/a |
|
|
|
|
6th pillar: Financial markets |
62 |
1.0 |
|
|
|
|
|
|
|
|
|||
|
|
|
|
|||
Foreign exchange markets............................................................ |
n/a |
n/a |
|
|
|
|
Derivatives markets....................................................................... |
n/a |
n/a |
|
|
|
|
Equity market development |
62 |
1.0 |
|
|
|
|
|
|
|
|
|||
|
|
|
|
|||
Bond market development |
54 |
1.0 |
|
|
|
|
|
|
|
|
|||
|
|
|
|
|||
|
|
|
|
|
|
|
1 |
2 |
3 |
4 |
5 |
6 |
7 |
Financial access
7th pillar: Financial access |
59 |
2.2 |
|
|
|
|
|
|
|
|
|
|
|||
Commercial access |
48 |
3.1 |
|
|
|
|
|
|
|
|
|
|
|||
Retail access |
58 |
1.3 |
|
|
|
|
|
|
|
|
|
|
|||
|
|
|
|
|
|||
|
|
|
|
|
|
|
|
1 |
2 |
3 |
4 |
5 |
6 |
7 |
outputs |
|
|
|
|
|
|
|
Note: For further details and explanation, please refer to “How Read the Country/Economy Profiles.”
272 | The Financial Development Report 2012
2: Country/Economy Profiles
Tanzania
Financial Development Index in detail |
|
|
ν Development Advantage |
ν Development Disadvantage |
||||
|
|
|
|
|
|
|
|
|
|
indicator |
rank/62 |
|
value |
best Performer |
Value |
||
|
1st pillar: Institutional environment |
|
|
|
|
|
|
|
|
Financial sector liberalization |
|
|
|
|
|
|
|
1.01 |
Capital account liberalization........................................................ |
|
59 |
......ν |
...................1.3 |
Multiple (25).......................... |
7.0 |
|
1.02 |
Commitments to WTO Agreement on Trade in Services............... |
|
55. |
.....ν................... |
1.0 |
Multiple (17).......................... |
7.0 |
|
1.03 |
Domestic financial sector liberalization......................................... |
|
n/a. |
........................... |
n/a |
Multiple (24).......................... |
7.0 |
|
|
Corporate governance |
|
|
|
|
|
|
|
1.04 |
Extent of incentive-based compensation...................................... |
|
59. |
.....ν................... |
3.4 |
United Kingdom................... |
5.3 |
|
1.05 |
Efficacy of corporate boards......................................................... |
|
40. |
.....ν................... |
4.4 |
South Africa......................... |
5.8 |
|
1.06 |
Reliance on professional management......................................... |
|
45. |
.....ν................... |
4.1 |
Finland................................. |
6.3 |
|
1.07 |
Willingness to delegate ................................................................ |
|
38. |
.....ν................... |
3.7 |
Denmark.............................. |
6.2 |
|
1.08 |
Strength of auditing and reporting standards................................ |
|
57. |
.....ν................... |
3.9 |
South Africa......................... |
6.6 |
|
1.09 |
Ethical behavior of firms............................................................... |
|
52. |
.....ν................... |
3.5 |
Finland................................. |
6.5 |
|
1.10 |
Protection of minority shareholders’ interests............................... |
|
51. |
.....ν................... |
3.9 |
Finland................................. |
6.1 |
|
|
Legal and regulatory issues |
|
|
|
|
|
|
|
1.11 |
Burden of government regulation................................................. |
|
19. |
.....ν................... |
3.5 |
Singapore............................. |
5.6 |
|
1.12 |
Regulation of securities exchanges.............................................. |
|
57. |
.....ν................... |
3.6 |
South Africa......................... |
6.5 |
|
1.13 |
Property rights ............................................................................ |
|
54. |
.....ν................... |
3.6 |
Finland................................. |
6.5 |
|
1.14 |
Intellectual property protection..................................................... |
|
51. |
.....ν................... |
3.1 |
Finland................................. |
6.3 |
|
1.15 |
Diversion of public funds.............................................................. |
|
40. |
.....ν................... |
3.0 |
Denmark.............................. |
6.3 |
|
1.16 |
Public trust in politicians .............................................................. |
|
33. |
.....ν................... |
2.8 |
Singapore............................. |
6.3 |
|
1.17 |
Corruption perceptions index....................................................... |
|
51. |
.....ν................... |
3.0 |
Finland................................. |
9.4 |
|
1.18 |
Strength of legal rights index........................................................ |
|
17. |
.....ν................... |
8.0 |
Multiple (6).......................... |
10.0 |
|
1.19 |
Central bank transparency........................................................... |
|
46. |
.....ν................... |
5.0 |
Sweden.............................. |
15.0 |
|
|
Contract enforcement |
|
|
|
|
|
|
|
1.20 |
Effectiveness of law-making bodies.............................................. |
|
36. |
.....ν................... |
3.6 |
Singapore............................. |
6.4 |
|
1.21 |
Judicial independence.................................................................. |
|
44. |
.....ν................... |
3.5 |
Finland................................. |
6.5 |
|
1.22 |
Irregular payments in judicial decisions......................................... |
|
53. |
.....ν................... |
3.0 |
Denmark.............................. |
6.8 |
|
1.23 |
Time to enforce a contract........................................................... |
|
26. |
.....ν............... |
462.0 |
Singapore......................... |
150.0 |
|
1.24 |
Number of procedures to enforce a contract................................ |
|
43. |
.....ν................. |
38.0 |
Multiple (2).......................... |
21.0 |
|
1.25 |
Strength of investor protection index............................................ |
|
41. |
.....ν................... |
5.0 |
Singapore............................. |
9.3 |
|
1.26 |
Cost of enforcing contracts ........................................................... |
|
9. |
.....ν................. |
14.3 |
Norway................................ |
9.9 |
|
|
|
|
|
|
|
|
|
|
|
2nd pillar: Business environment |
|
|
|
|
|
|
|
|
Human capital |
|
|
|
|
|
|
|
2.01 |
Quality of management schools................................................... |
|
60. |
.....ν................... |
3.4 |
United Kingdom................... |
6.1 |
|
2.02 |
Quality of math and science education......................................... |
|
56. |
.....ν................... |
2.8 |
Singapore............................. |
6.3 |
|
2.03 |
Extent of staff training................................................................... |
|
43. |
.....ν................... |
3.8 |
Switzerland.......................... |
5.6 |
|
2.04 |
Local availability of specialized research and training services |
....... 58. |
.....ν................... |
3.6 |
Switzerland.......................... |
6.4 |
|
|
2.05 |
Brain drain................................................................................... |
|
50. |
.....ν................... |
3.1 |
Switzerland.......................... |
6.3 |
|
2.06 |
Tertiary enrollment ...................................................................... |
|
61. |
.....ν................... |
2.1 |
Korea, Rep....................... |
103.1 |
|
|
Taxes |
|
|
|
|
|
|
|
2.07 |
Irregular payments in tax collection............................................... |
|
56. |
.....ν................... |
3.1 |
Finland................................. |
6.9 |
|
2.08 |
Distortive effect of taxes and subsidies on competition................. |
|
48. |
.....ν................... |
3.7 |
United Arab Emirates........... |
5.9 |
|
2.09 |
Marginal tax variation................................................................... |
|
40. |
.....ν................... |
9.8 |
Kuwait................................ |
-4.8 |
|
2.10 |
Time to pay taxes......................................................................... |
|
22. |
.....ν............... |
172.0 |
United Arab Emirates......... |
12.0 |
|
|
Infrastructure |
|
|
|
|
|
|
|
2.11 |
Quality of overall infrastructure ..................................................... |
|
59. |
.....ν................... |
3.1 |
Switzerland.......................... |
6.6 |
|
2.12 |
Quality of electricity supply........................................................... |
|
60. |
.....ν................... |
1.9 |
Netherlands.......................... |
6.8 |
|
2.13 |
Internet users .............................................................................. |
|
59. |
.....ν................. |
12.0 |
Norway.............................. |
94.0 |
|
2.14 |
Broadband Internet subscriptions................................................ |
|
62. |
.....ν................... |
0.0 |
Switzerland........................ |
39.2 |
|
2.15 |
Telephone subscriptions............................................................... |
|
62. |
.....ν................... |
0.4 |
Germany............................ |
63.1 |
|
2.16 |
Mobile telephone subscriptions ................................................... |
|
62. |
.....ν................. |
55.5 |
Hong Kong SAR............... |
209.6 |
|
(continued)
The Financial Development Report 2012 | 273
2: Country/Economy Profiles
Tanzania
Financial Development Index in detail (continued) |
|
ν Development Advantage |
ν Development Disadvantage |
||||
|
|
|
|
|
|
|
|
|
indicator |
rank/62 |
|
value |
best Performer |
Value |
|
|
2nd pillar: Business environment (continued) |
|
|
|
|
|
|
|
Cost of doing business |
|
|
|
|
|
|
2.17 |
Cost of starting a business........................................................... |
58 |
......ν |
................. 28.8 |
Denmark.............................. |
0.0 |
|
2.18 |
Cost of registering property ......................................................... |
33. |
.....ν |
...................4.4 |
Multiple (2)............................ |
0.0 |
|
2.19 |
Cost of closing a business........................................................... |
49. |
.....ν................. |
22.0 |
Multiple (4)............................ |
1.0 |
|
2.20 |
Time to start a business............................................................... |
48. |
.....ν................. |
29.0 |
Australia............................... |
2.0 |
|
2.21 |
Time to register property.............................................................. |
55. |
.....ν................. |
73.0 |
Portugal............................... |
1.0 |
|
2.22 |
Time to close a business.............................................................. |
41. |
.....ν................... |
3.0 |
Ireland.................................. |
0.4 |
|
|
|
|
|
|
|
|
|
|
3rd pillar: Financial stability |
|
|
|
|
|
|
|
Currency stability |
|
|
|
|
|
|
3.01 |
Change in real effective exchange rate (REER)............................ |
n/a. |
........................... |
n/a |
Brazil.................................... |
8.3 |
|
3.02 |
External vulnerability indicator...................................................... |
n/a. |
........................... |
n/a |
Saudi Arabia......................... |
9.3 |
|
3.03 |
Current account balance to GDP................................................. |
61. |
.....ν................. |
-9.9 |
Kuwait................................ |
32.0 |
|
3.04 |
Dollarization vulnerability indicator............................................... |
n/a. |
........................... |
n/a |
Multiple (25).......................... |
0.0 |
|
3.05 |
External debt to GDP (developing economies)............................. |
n/a. |
........................... |
n/a |
China................................... |
9.6 |
|
3.06Net international investment position to GDP
|
(advanced economies)................................................................ |
n/a. |
........................... |
n/a |
Hong Kong SAR............... |
287.7 |
|
Banking system stability |
|
|
|
|
|
3.07 |
Frequency of banking crises......................................................... |
16...... ................... |
ν |
1.0 |
Multiple (9)............................ |
0.0 |
3.08 |
Financial strengths indicator........................................................ |
n/a............................ |
|
n/a |
Multiple (3)............................ |
9.0 |
3.09 |
Aggregate measure of real estate bubbles.................................... |
42...... ................... |
ν |
4.0 |
Ireland.................................. |
6.9 |
3.10 |
Tier 1 capital ratio........................................................................... |
4...... ................. |
ν |
19.6 |
Ghana................................ |
22.7 |
3.11 |
Output loss during banking crises.................................................. |
1...... ................... |
ν |
0.0 |
Multiple (20).......................... |
0.0 |
|
Risk of sovereign debt crisis |
|
|
|
|
|
3.12 |
Local currency sovereign rating................................................... |
n/a............................ |
|
n/a |
Multiple (10)........................ |
20.0 |
3.13 |
Foreign currency sovereign rating................................................ |
n/a............................ |
|
n/a |
Multiple (10)........................ |
20.0 |
3.14 |
Aggregate macroeconomic indicator............................................ |
48...... ................... |
ν |
4.5 |
Peru..................................... |
6.4 |
3.15 |
Manageability of public debt ........................................................ |
29...... ................. |
ν |
44.4 |
Kuwait.................................. |
6.2 |
3.16 |
Credit default swap spreads........................................................ |
n/a............................ |
|
n/a |
Norway.............................. |
36.2 |
|
|
|
|
|
|
|
|
4th pillar: Banking financial services |
|
|
|
|
|
|
Size index |
|
|
|
|
|
4.01 |
Deposit money bank assets to GDP............................................. |
57...... ................. |
ν |
22.6 |
Ireland.............................. |
245.1 |
4.02 |
Central bank assets to GDP......................................................... |
17...... ................... |
ν |
3.5 |
Brazil.................................. |
18.3 |
4.03 |
Financial system deposits to GDP................................................ |
53...... ................. |
ν |
25.0 |
Hong Kong SAR............... |
305.8 |
4.04 |
M2 to GDP................................................................................... |
62...... ................. |
ν |
22.3 |
Hong Kong SAR............... |
320.5 |
4.05 |
Private credit to GDP.................................................................... |
58...... ................. |
ν |
14.6 |
Denmark.......................... |
229.8 |
4.06 |
Bank deposits to GDP................................................................. |
54...... ................. |
ν |
25.3 |
Hong Kong SAR............... |
305.8 |
4.07 |
Money market instruments to GDP.............................................. |
33...... ................... |
ν |
0.0 |
Ireland................................ |
18.6 |
|
Efficiency index |
|
|
|
|
|
4.08 |
Aggregate profitability indicator.................................................... |
22...... ................... |
ν |
5.1 |
Czech Republic.................... |
6.0 |
4.09 |
Bank overhead costs................................................................... |
57...... ................... |
ν |
5.7 |
Finland................................. |
0.6 |
4.10 |
Public ownership of banks........................................................... |
50...... ................. |
ν |
35.8 |
Multiple (22).......................... |
0.0 |
4.11 |
Bank operating costs to assets.................................................... |
59...... ................... |
ν |
6.1 |
Sweden................................ |
0.8 |
4.12 |
Non-performing bank loans to total loans.................................... |
n/a............................ |
|
n/a |
Finland................................. |
0.5 |
|
Financial information disclosure |
|
|
|
|
|
4.13 |
Private credit bureau coverage .................................................... |
53...... ................... |
ν |
0.0 |
Multiple (12)...................... |
100.0 |
4.14 |
Public credit registry coverage ..................................................... |
26...... ................... |
ν |
0.0 |
Portugal............................. |
86.2 |
|
|
|
|
|
|
|
|
5th pillar: Non-banking financial services |
|
|
|
|
|
|
IPO activity |
|
|
|
|
|
5.01 |
IPO market share ........................................................................ |
55...... ................... |
ν |
0.0 |
China................................. |
37.8 |
5.02 |
IPO proceeds amount ................................................................. |
53...... ................... |
ν |
0.0 |
Hong Kong SAR................... |
5.1 |
5.03 |
Share of world IPOs..................................................................... |
52...... ................... |
ν |
0.0 |
China................................. |
30.2 |
(continued)
274 | The Financial Development Report 2012