Over the past few years, access to the international financial markets has becorne easier for rnany developing countries, which have enjoyed a surge in Capital in flows. At times, because of the small size of Capital markets in developing countries relative to the size of Capital flows, the latter have caused substantial movements in domestic asset princes. Consequently, some countries have adopted or strengthened measures to reduce volatility in asset markets - for example, restrictions on margin purchases of securities taxes and direct government intervention in equity market.