This improvement contributed to the adoption of a more positive attitude by foreign investors and the net capital inflow increased from less than R4 billion in the full year of 1996 to more than R16 billion in the first half of 1997.
The list may be quite exhaustive but in the interest of time I would like to mention few key developments related to financial markets such as (a) introduction of interest rate corridor and SBP target rate, (b) strengthening of FX reserves and deepening of FX markets, (d) broadening the scope of money market to include Islamic Financial Institutions, (e) diversifying the investor base for government securities and (f) strengthening of primary dealers.