Inflation and Financial Sector Correlation: The Case of Bangladesh

Authors

  • Abu N.M. Wahid
  • Muhammad Shahbaz COMSATS Institute of Information Technology Lahore
  • Pervaz Azim Government College University Faisalabad

Abstract

This paper examines the impact of inflation on financial development in case of Bangladesh for the period of 1985-2005. In doing so, ARDL bounds testing approach and Error Correction Method (ECM) have been employed. Empirical findings reveal that high trends of inflation impede the performance of financial markets. GDP per capita promotes development of financial sector through its causal channels.

Keywords: Financial Sector; Inflation; Bangladesh; ARDL Approach

JEL Classifications: D14; E31

Downloads

Download data is not yet available.

Downloads

Published

2011-10-15

How to Cite

Wahid, A. N., Shahbaz, M., & Azim, P. (2011). Inflation and Financial Sector Correlation: The Case of Bangladesh. International Journal of Economics and Financial Issues, 1(4), 145–152. Retrieved from https://www.econjournals.com/index.php/ijefi/article/view/42

Issue

Section

Articles