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What are the key components of the financial system?

There are majorly 2 components of financial system one is formal financial system and another one is informal financial system. under the formal financial system there are 4 components 1)Financial Intermediaries 2)Financial Markets 3)Regulators 4)financial instruments in informal financial system neighbours ,relatives,landlords,local trader are there


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Financial system is a system used by organizationÕs management to exercise financial control and accountability. It allows transfer of money between savers and borrowers.


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Government is an actor within a financial system and sometimes they create the financial system but government is not by itself a financial system unless there are not free markets of any sort.


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There are basically 4 components of INDIAN FINANCIAL SECTORS are: 1. FINANCIAL INSTITUTIONS 2. FINANCIAL INSTRUMENTS 3. FINANCIAL MARKETS 4. FINANCIAL SERVICES