composite Fincont2 index over 1995–2008across different regions, and gives an indication of how financial sector-specific controls have evolved over time. On average, both Europe and Latin America appear to be the least restrictive in terms of capital controls on the financial sector, while Asia is the most restrictive. This pattern mimics that of economy-wide capital controls on inflows, as measured by Schindler's (2009) index (labeled here as Kcont). Asia is more intensive in economywide capital account restrictions on inflows than either Europe or Latin America. Interestingly, while the average intensity of economy-wide capital controls has been falling somewhat in EMEs over the years as countries have moved toward capital account liberalization, the prevalence of financial sector-specific capital controls increased in the second half of 2000s, presumably in response to perceived risks associated with inflow surges.