Taxes
Most countries who want to see their capital markets develop into mature centres of capital need to review their tax regulations regarding financial transactions. A lot of these high tax rates are cumbersome to the efficient functioning of these markets and also hinder the full maturation of these markets. Investors, both local and foreign, are often deterred by these taxes because taxes eat up their projected profits. Some countries even unknowingly impose double taxation on capital markets such as corporate tax and dividend tax. A low-tax regime is better compared to a high-tax regime, since lower taxes will produce more financial transactions which in turn will produce higher tax revenues.
Tax time? or lunch time?