EFFECTUS - Entrepreneurial Studies - University College
Abstract
Liquid and resilient government bond markets are often defined as an important goal of public debt management. Although similar in many aspects, regulatory frameworks related to financial services in Bosnia and Herzegovina, Croatia and Serbia are experiencing a time lag in the implementation of the European Union acquis. In addition, these countries have sometimes made different policy choices when it comes to public debt management. This provides a unique opportunity to conduct a cross-dimensional and temporal analysis and assess the impact that different regulatory solutions and policy choices can have on the market. The research demonstrates that despite common and obvious limitations related to market size, the impact of policy and regulatory choices is not negligible. It also demonstrates the importance of a comprehensive strategy integrating factors such as debt structure, liquidity enhancement techniques and quality of the institutional investor base
