THE DETERMINANTS OF FINANCIAL DEVELOPMENT IN CASE OF CENTRAL ASIAN COUNTRIES

The growth of the financial sector is essential to economic development and is widely regarded as a sign of a nation's prosperity (Svirydzenka, 2016). But differences in how each nation's financial sector has developed can cause a gap between advanced and developing countries. The gap in progress between emerging and developed nations is best illustrated by the Asian region, especially when it comes to the financial industry (Svirydzenka, 2016; Shen and Lin, 2007). Furthermore, the post-global financial crisis era suggests that Asian banking efficiency and liquidity must improve. This is because Asian banks outperform banks in other regions of the world, as noted by Vinayak et al.