Explain how financial intermediaries may or may not contribute to econ. development in developing countries.?
Please and thank you...
- 1 decade agoFavorite Answer
Depends on what you mean by "financial" intermediaries. Do you mean the banks that transfer the money when it is awarded to the nations? Or do you mean the people who use the money after it's received? Because the first group can't effect the development as they would just move the money to where they are told, and the second group are not "intermediaries" in the sense that you are speaking. They are the end of the road. Whatever they choose to do as a sovereign government representing the people of their nation surpasses the very definition of intermediary. In any case, a little bit of reflection will bring you to your answer.