Emerging Market Growth Could Be Settling Down, Data Suggest
(Bloomberg) -- Is the party winding down?
A measure of growth in emerging market economies paused in March after rising to the highest level in seven years.
The EM Growth Tracker retreated to a 6.6 percent growth pace on a quarter-over-quarter basis, according to the Institute of International Finance, which represents the financial sector from banks to sovereign wealth funds.
That’s 0.2 pp lower than February.
Negative business sentiment and a contraction in import and export “variables” weighed on the report, the IIF said. The report noted, "mounting trade tensions are one of the drivers we have identified in the fading of synchronized growth."
At the same time, the outlook is “strong” bolstered by U.S. fiscal stimulus and stronger growth in the euro area. Additionally, regional trackers remained positive.
The data were published April 19.
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