In recent years many poor countries have been a laboratory of financial sector reform. Proponents of foreign banks claim that these banks can achieve better economies of scale and risk diversification than domestic banks, and that they introduce more advanced technology (especially risk management), import better supervision and regulation, and increase competition. Because they are backed by their parent banks, foreign affiliates of international banks may also be perceived as safer than private domestic banks, especially in times of economic difficulty. Last but not least, foreign banks may be less susceptible to political pressure and less inclined to lend to connected parties.