Asian Development Bank (ADB) President Tadao Chino Sunday called on developing countries to create a healthy and sound investment environment to attract long-term capital from institutional investors.
Addressing a round-table conference on the sideline of the bank's 35th annual board meeting in Shanghai, he said one of the majorchallenges facing ADB developing country members was promoting therational flow of long-term capital from institutional investors.
Many Asian developing countries have already cooperated with multinational organizations, including the bank, in programs designed to improve the macro-economic environment and promote thedevelopment of domestic pension funds and mutual funds and the insurance sector.
The programs include anti-poverty development projects and improving the governance of public institutions and enterprises.
The ADB president said the efforts were conducive to ensuring the mobility of long-term capital in the region and stabilizing domestic capital markets in those countries.
Nicholas Brady, chairman of Darby Overseas Investment, said establishing and maintaining a sound financial system, especially the banking system, was of great importance in promoting the flow of international capital and the process of globalization.
Among the topics discussed at the round-table conference were the role of private companies in managing non-performing assets, the prospects of the globalization of the capital market, and corporate governance.
Representatives and experts from major financial organizations around the world attended the meeting.
(Xinhua News Agency May 12, 2002)
