EM recovery remains slow going

Six months ago there were hopeful signs that growth in the emerging world might finally be picking up. But our GDP tracker suggests the upturn in growth seen in mid-2013 may have faltered in the final months of last year. This is likely to set the scene for another year of lacklustre growth in 2014. Against this backdrop, EM financial markets have continued to struggle. Concerns about Fed tapering have been compounded by increased political risk in some countries, including Turkey and Thailand.