A positive 2022 in sight for emerging markets
Fiscal and current accounts are in better shape and reforms have strengthened resilience
Emerging markets found 2021 a challenging year. Mixed vaccination progress across countries contributed to false starts in exiting the pandemic. Economic reopenings in emerging markets lagged behind those in developed markets.
China was a big concern. Tighter fiscal and monetary policies, the “common prosperity” campaign driving regulatory changes across industries, and a zero Covid-19 approach combined to cool investor sentiment...