Theory of Financial Intermediation: A Millennial Perspective of Theory and Practice.

Abstract

Journal ArticleFinancial intermediaries, according to the theory, have to function only because financial market are not perfect, which spells out their intermediation process towards profitability and growth attainment. This study aided to depicts the importance of financial structure in intermediation process, the two broad categories of intermediaries, the two perspectives intermediaries are expected to function, theory of financial intermediation and related theories the mirrors out the process, how and why they must be regulated at interval and the functions of intermediaries towards household, firms and governmen