| Sovereign wealth funds may help developing countries to manage natural resources but are not a panacea for economic growth, MEFMI’s executive director warned delegates. Caleb Fundanga, former governor of the Bank of Zambia, said governments should establish rule-based frameworks for SWFs that encourage stability and support the development of infrastructure.
The involvement of central banks was also important, he told the MEFMI annual combined forum in Lima on 6 October. Arunma Oteh of the World Bank told the meeting that $7.7 trillion is invested in SWFs worldwide, while the number of SWFs has doubled during the past four years. Yet that did not mean they guaranteed financial stability...............................................Full Article: Source |