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Governments impose prudential regulations to ensure the stability of the financial sector and protect depositors and investors. However, these regulations may also restrict trade in financial services. The Annex on Financial Services of the World Trade Organization (WTO)'s General Agreement on Trade in Services (GATS) contains an exception allowing countries to take measures for 'prudential reasons' to protect the 'integrity and stability of the financial system' or to 'protect investors,doi:10.1093/jiel/jgw069 fatcat:e7cvfnxb4ja4lleunblocuwzri