Development banks in economic development: Two Latin American experiences: (Nacional financiera and the banco nacional de desenvolvimento economico e social)

This dissertation aims to investigate the role of development banks in financing economic growth in Latin America throughout the 20 th century. Two study cases are examined: Nacional Financiera (NAFINSA) in Mexico and the Banco Nacional de Desenvolvimento Econômico e Social (BNDES) in Brazil. We use a comparative- historical approach to address similarities and differences between Brazil and Mexico in using financing to spur economic growth. In so doing, we expect to draw useful lessons for policy-makers. The dissertation consists of five sections. The introduction addresses the motive of this dissertation and outlines its approach and structure, and then closes with a necessary background discussion of what development banking is. Section 2 gives a brief historical review of the early progenitors of current development banks. Sections 3 and 4 constitute the bulk of the dissertation. They respectively investigate NAFINSA in Mexico and the BNDES in Brazil. The bulk of each section is a careful historical investigation of the structures and practices of each bank, including in particular how they changed over time. Each of the two sections concludes with a short discussion of implications suggested by that case study. The final brief section 5 of the thesis is a combination of the suggested implications for development banking in Latin America from the two case studies.