European Financial Institutions A Useful Inspiration for Developing Countries?

• Published in: Regional Financial Cooperation p. 136
• Main Authors: STEPHANY GRIFFITH-JONES, ALFRED STEINHERR, ANA TERESA FUZZO DE LIMA
• Format: Book Chapter
• Language: English
• Published: United States Brookings Institution Press and Economic Commission for Latin America and the Caribbean (ECLAC) 29-08-2007; Brookings Institution Press
• Subjects: Bank capital; Bank loans; Bank management; Banking; Business; Countries; Development banks; Development studies; Economic disciplines; Economics; European cooperation; European integration; European Union; Finance; Financial economics; Financial institutions; Financial instruments; Financial services industries; Funding; Human geography; Industrial sectors; Industry; International cooperation; International finance; International governmental organizations; International political organizations; International politics; International relations; Investment banking; Loans; Political geography; Political organizations; Political science; Politics; Regional cooperation; Service industries; Social sciences
• ISBN: 9780815764199; 0815764197

Since its beginning, European integration has been accompanied by the creation of major financial mechanisms. Such mechanisms and the resulting financial transfers have been seen as both an economic and a political condition for making economic integration effective and equitable. These mechanisms have included grants (through the Structural Funds), loans (mainly through the European Investment Bank), and most recently, guarantees (European Investment Fund).
These financial mechanisms have had two major aims: (1) reducing income differentials between countries and regions within the European Community (and later the European Union), particularly those resulting from trade liberalization, and (2) allocating major financial resources