The present study has investigated the impact of financial development on economic growth, in selected South Asian (Pakistan, India, Bangladesh, Sri Lanka) and East Asian (Philippines, Indonesia, Thailand and Malaysia) countries for the period of 1980-2014. Domestic credit provided by banking sector (DCBS), Domestic credit to private sector (DCPS) and Liquid liabilities (M3) has been taken as indicator of financial development. The research has applied the panel co-integration techniques for analyzing both the long run and short run relationship. Using Im, Pesaran and Shin (IPS) (2003), the results indicate that all the variables are integrated of order one. After this, Pedroni (1999) test detected co-integration among all the variables of the study. The study has estimated the long run relationship through Dynamic Ordinary Least Square (DOLS) test. The results indicate that the relationship between financial development and economic growth exists for both South Asian and East Asian regions in the long run, Liquid liabilities has insignificant impact on economic growth in long run, whereas DCBS and DCPS are positively associated with economic growth. Finally, Error correction mechanism for panel study is applied on the basic of financial development models. Short run results suggest that the relationship between financial development and economic growth holds in South Asia and East Asia in the short run, all other real sector variables have significant impact on economic growth. Overall, the results indicate that the relationship between financial development and economic growth is valid in developing countries of South Asia and East Asia. Supervisor:- Dr. Ahsan Ul Haq Satti