Banking across borders has risen substantially over the past two decades. Yet there is significant heterogeneity in the international and global activities of banks across countries. This paper develops and tests a theoretical model that explains this variation from an international trade theory...

Introduction -- Ease and ruckus of doing business in South Asia -- Impact of FDI on the host and home country -- Trends of trade and investment in the SAARC region -- The relationship between trade and investment in the SAARC region -- Causal relationships between investment and trade in the...