It has been clearly evidenced during the crisis that financial sector development per se cannot be an objective in itself. It needs to be pursued in the broader context of financial stability and has to necessarily correspond to the level of maturity of the financial system and the needs of the real economy.
Regulatory comfort and assessment should therefore be a critical determinant in this regard. 58. A lot of far reaching measures have been taken recently in terms of allowing new products such as interest rate futures, currency futures, repo in corporate bonds etc. and work is underway for introducing some others like credit default swaps.