| Abstract: | An integrated capital market can significantly improve prospects for a region which seeks to accelerate its development but is critically short of the requisite capital The function of a capital market is the transformation of savings by private individuals into investment capital required by business concerns. However, the processing of transformation requires mediation between their respective interests through an effective mechanism for facilitating access to the market for capital It also requires allocational efficiency so that capital investment is directed where it is most useful and provides the best yield. This article considers the measures that should be adopted to facilitate harmonisation leading to the growth of a regional capital market which is necessary for regional integration. It reviews trends in capital controls, corporate and financial regulatory practices and tax regimes and discusses the implications for capital mobilisation and investment. The regionalisation of capital would call for considerable convergence and coordination of policy and practice in capital control, regulatory requirements and fiscal systems. |
