WHAT IS A NATIONAL DEVELOPMENT BANK? THEORETICAL FOUNDATION AND TAXONOMY DESIGN

This article identifies theoretical roots of development bank’s existence. Based on the substantial amount of data observed we suggest an umbrella definition of a development bank. Further, reflecting diagnosed fundamental heterogeneity of national development banks, we suggest relevant taxonomy to avoid potential misleading benchmarks. The paper posits that a development bank is able to be an effective tool of intelligent government intervention aimed at providing economic growth and mitigating market failures.