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Was the EM boom built on sand?

Rapid EM growth in the 2000s was driven by a wave of liberalising reforms that produced genuine economic transformation across the emerging world, but potential growth has now slowed. Accordingly, while we expect EM growth to rebound over the next year, it will settle at much lower rates than have been the norm over the past decade or so – and the gap between over and underperforming EMs will be much more marked.

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