Empowering Future Leaders to Build Stronger Capital Markets in Emerging Economies

The IFC Capital Markets Postgraduate Program, launched in 2016, aims to address knowledge gaps in underdeveloped financial systems by training mid-career capital market regulators and financial professionals. The program provides a blend of academic coursework and professional internships to help participants drive policy reforms, develop new financial products, and foster stronger financial markets. Graduating 270 professionals across 64 countries, the program established a global alumni network that fosters financial development. This article provides insights from the report "Shaping the Next Generation of Capital Markets Leaders" and highlights the program's structure, alumni impact, and future goals.

Shaping Leaders for Financial Growth in Emerging Markets

In today’s rapidly evolving global economy, capital markets play a pivotal role in driving economic growth. For many emerging economies, however, these markets remain underdeveloped, with limited resources and expertise to sustain their growth. Recognizing this challenge, the International Finance Corporation (IFC) launched the Capital Markets Postgraduate Program in 2016. The goal? To empower mid-career professionals from regulatory bodies, central banks, and financial institutions with the tools and knowledge they need to develop local capital markets.

A recent report titled "Shaping the Next Generation of Capital Markets Leaders" highlights the impact of this program, providing a glimpse into how it’s shaping the future of finance in developing countries. With participants from 64 nations and over 270 alumni to date, the program is creating a global community of financial leaders who are making a tangible impact on their home countries’ financial systems.

Bridging Knowledge Gaps Through a Hands-On Approach

The core structure of the IFC Capital Markets Postgraduate Program is designed to address the knowledge gaps that often hinder the development of robust financial markets in emerging economies. The program offers a comprehensive blend of academic theory and practical experience, divided into two main phases.

The first phase involves four months of rigorous academic coursework at top institutions, such as George Washington University and Université Paris Dauphine-PSL. These sessions cover critical topics like policy issues, sustainable finance, and market solutions. During this time, participants interact with leading market practitioners and attend workshops hosted by renowned institutions like the U.S. Securities and Exchange Commission.

In the second phase, participants immerse themselves in a four-month internship at a financial institution in the U.S. or Europe. This hands-on experience allows them to apply their newly acquired skills in real-world scenarios, gaining valuable insights into how to implement international standards and best practices back home.

Graduates emerge from this nine-month program armed with both theoretical knowledge and practical experience, ready to address pressing financial challenges in their countries. This holistic approach equips them to drive reforms that create an enabling environment for capital market development.

Alumni Impact: Driving Reforms and Innovations

Since its launch, the program’s alumni have been key agents of change in their respective countries, helping drive policy reforms and develop new financial products to improve market infrastructure. According to the report, 68% of alumni have contributed to new policies, regulatory reforms, or product development in their home countries.

For example, alumni like Haritovo Rakotondrasoa from Madagascar have played pivotal roles in modernizing monetary policy frameworks, while others, such as Najia Ubaid from Pakistan, have led regulatory sandbox projects that provide fertile ground for financial innovation. These alumni are not only shaping their domestic markets but also bringing global best practices to the forefront of their financial systems.

Many graduates also experience significant career advancements after completing the program. The report notes that 77% of alumni take on new responsibilities, and 94% receive promotions within two years of returning to their institutions. They often become key decision-makers, leading efforts to improve investor confidence, foster innovation, and implement sound financial policies. This ripple effect is building stronger financial markets across the developing world, from Africa to Southeast Asia.

Building a Global Network of Financial Leaders

One of the program’s most valuable outcomes is the creation of a strong global network of financial professionals. Alumni from diverse countries stay connected, sharing knowledge, resources, and solutions to overcome challenges in their local markets. The alumni network fosters collaboration across borders, helping professionals develop innovative financial products and services that can meet the unique needs of their economies.

In several countries, such as Kenya and Nigeria, alumni chapters have formed, strengthening the bonds between financial professionals and fostering cooperation at a national level. These alumni chapters are working to address local challenges in their markets, pushing for greater financial inclusion, transparency, and economic stability.

IFC’s continued support for this growing network ensures that alumni stay engaged in their personal and professional development. Biennial alumni retreats and continuous learning opportunities keep graduates connected and motivated to advance their countries’ financial systems. The future focus of the program is to further build on this network, encouraging collaboration that goes beyond borders and fosters long-term financial growth in emerging economies.

A Glimpse Into the Future of Capital Markets

As highlighted in the report, Shaping the Next Generation of Capital Markets Leaders, the IFC Capital Markets Postgraduate Program is more than just a training initiative; it’s a catalyst for systemic change. By equipping mid-career professionals with the skills and knowledge to shape their countries' financial futures, the program is laying the groundwork for sustainable economic growth.

As emerging economies continue to develop, the contributions of these program alumni will be vital. Their work will help create robust financial markets capable of tackling today’s challenges, from infrastructure funding to sustainable development. Through their leadership and dedication, these professionals are not only changing the trajectory of their careers but also shaping the future of capital markets globally.