The role of natural resources in financial expansion: evidence from central asia

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SUMMARY

    Study fills a gap in the literature by analyzing the relationship between FE and natural resource (NR) rents in resource rich developing countries. The Kazakh financial sector is an important case study for understanding the natural "resource curse" in finance. In this study, the emphasis was placed on natural resources and the square of natural resources` effect on FE to examine whether a U-shaped or inverted U-shaped relationship exists between these variables. As a result of inefficient resource allocation, pursuing foreign capital abundance is the channel through which commodity price booms can . . .

     

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