CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 78.1% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
US English

What is financial integration?

Financial integration

It's a phenomenon where financial markets in neighbouring, regional or global economies are closely linked together - for example, through cross-border capital flows, foreign participation in the domestic financial markets, and information sharing among financial institutions. Legal restrictions can sometimes hinder financial integration.

What you need to know about financial integration.

Financial integration of neighbouring, regional or global economies can take place through a formal treaty in which the governing bodies of those economies agree to cooperate to address financial disturbances. But because of the recent financial crises, there's been a lively debate among academics about the costs and benefits of financial integration.

The advantages of financial integration include better governance, efficient capital allocation and higher growth and investment. But, a higher degree of financial integration also has the potential to trigger severe financial contagion in linked economies during crises.

Latest video

Latest Articles

View all articles

Still looking for a broker you can trust?

Join the 610,000+ traders worldwide that chose to trade with Capital.com

1. Create & verify your account 2. Make your first deposit 3. You’re all set. Start trading