This study investigates the impact of demographic transition and financial development on financial saving in short and long run within context of East and South Asian Economies (including Japan, Korea, Singapore, Malaysia, Pakistan, India, Bangladesh and Sri Lanka). The analysis are based on annual panel data over the period 1987 to 2012. By employing Panel Generalized Method of Moment (GMM), the empirical evidence reveals the positive impact of real GDP per capita on financial savings. Real GDP per capita presents the slightly little impact on financial savings. While dependency ratio negatively and significantly effect on financial saving in short and long run. When dependency ratio falls, it generates demographic dividend both in East and South Asian Economies. However, the magnitude of demographic dividend is very little. Whereas, private credit to GDP has positive but insignificant impact in South Asian Economies and positively strong significant impact on financial saving in East Asian countries. Inflation and interest rate spread have statistically significant and negative impact on South Asian countries in long run but inflation is insignificant in East Asian Economies. Interest rate spread is reported insignificant in East Asian Economies and strongly negative significant impact on financial saving in short run for South Asian Economies. Whereas, inflation is significant in East Asia and insignificant impact in short run for South Asia. Proxy of financial development (M2) is statistically positive and significant impact on financial savings in short and long run in both region. Based on results, financial development must lead to enhance the financial savings. Supervisor : Dr. Shujaat Farooq