Pessimism over long-term emerging market growth has been running strong since tapering was first announced, and a recent report from the International Monetary Fund (IMF) downgrading global emerging market (GEM) growth by 0.5% has added to it. Citi head of EM economics David Lubin thinks that the spate of downgrades may be at odds with data, but there are still underlying problems facing EM growth.
Expectations for emerging market growth
“The IMF expects emerging market growth to be 0.5 points lower than it did in July, with particularly sharp downgrades for Russia, India and Mexico,” writes Lubin. He has seen the same trend in Citi forecast revisions but, “the story for Emerging Market is one of relative
