Having been spectators to the credit crisis that has gripped the developed world since 2008, debt problems now seem to be building in several major EMs. There are good reasons to think that the economic fallout may be less severe than in previous EM crises. But even so, the repercussions of the recent lending binge is likely to mean that default rates will rise and growth in a number of large EMs - including China and Brazil - will be much weaker over the coming years.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to gain:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services