New technologies and management methods have eroded some of the traditional informational benefits of relationship finance, however, and community banks have lost market share to larger banks and to nondepository institutions. But the data also show that many customers want to be served locally; they value proximity and convenience.
While there are no simple recipe for the optimal choice of a currency regime in any country, one can safely emphasise the importance of consistency within the exchange regime and its underlying macroeconomic policies and economic fundamentals. It is easy to agree with those who have pointed out that no regime can ultimately substitute for sound macroeconomic policies.