590 Published By: Blue Eyes Intelligence Engineering & Sciences Publication Retrieval Number: E5042018520/2020©BEIESP DOI:10.35940/ijrte.E5042.018520 Journal Website: www.ijrte.org “Financial Sector Development and Pecuniary Growth: Evidence from India and the Republic of Korea”

Abstract

Pecuniary growth is the basic indicator by which a nation is always acknowledged, we can identify the pecuniary growth by measuring the GDP of the country. A nation is generally regarded as more developed if its growth is more. Simultaneously, overall pecuniary development of any nation takes place. A profusion of works indicates the existence of causation between growth of economy and “financial sector development”. Further an endeavor has been made for exploring the causation amongst financial sector enhancement and development of economy with special reference to India and Republic of Korea. Causality test was employed with the help of VAR. Further in the work it has been found that deepening of financial sector shows unidirectional relationship, financial sector efficiency leads to no causality and financial sector stability shows partial causal relationship with “Pecuniary Growth” in Indian context. While on the other hand, in case of republic of Korea almost no causality was found in financial sector deepening, bidirectional and unidirectional causality in case of financial sector efficiency and partial causality was found in financial efficiency with “Pecuniary Growth”. Thus, vigorous results were evaluated and examined which supported the literature.