Module Information

Module Identifier
Module Title
Academic Year
Intended for use in future years

Course Delivery

Delivery Type Delivery length / details
Lecture 2 Hours.
Seminars / Tutorials 5 Hours.


Assessment Type Assessment length / details Proportion
Semester Assessment 2000 written assessment  20%
Semester Exam 2 Hours   80%
Supplementary Exam 2 Hours   Resit or resubmit failed element(s)  100%

Learning Outcomes

On successful completion of this module students should be able to:

  • Have a knowledge of financial institutions in developing countries
  • Understand the work between economic growth and finance
  • The sources of domestic and international finance
  • The causes of international financial crises


To provide students with subject skills, ie, macro and micro economic and financial analysis and transferable skills, eg, communication skills, research skills etc.

Brief description

The course will start by looking at financial institutions and markets in LDCs and then proceed to look at the relationship between finance and growth, the determinants of savings and financial repression and liberalisation in developing countries. It then will consider the impact of positive financial flows, such as foreign aid and negative financial flows such as capital flight. The course then considers the causes and consequences of the debt crisis in mid 1980s and the financial crisis of the 1990s in Asia and Latin America. Government budget deficits are often the cause of such crisis but it will be demonstrated that, especially in the case of the Asian crisis, it was not the culprit. Finally the course considers the informal credit markets and the macroeconomic impact of informal financial markets.


Financial institutions and markets in LDC's
Finance and economic growth
Savings and financial regression
Foreign aid
Capital flight
Debt crises
Informal markets

Transferable skills

More specifically by taking this module students will enhance several transferable skills. Attendance at lectures should help note taking. Essay writing will enhance writing as well as time management skills and problem solving. The debates should also enhance teamwork, communiction and presentational skills and reinforce further time management skills. The inclusion of web sites and encouragement to use the library fully should help to enhance basic IT and research skills.

Reading List

D Rey (1998) Development Economics Princeton University Press Primo search M F Fry (1995) Money, Interest and Banking in Economic Development John Hopkins University Press Primo search P J Moneal, P R Agenor and N Ul Haque (1993) Informal Markets in Developing Countries Blackwell Primo search V Murinde (1996) Development Banking and Finance Avebury Primo search


This module is at CQFW Level 7