Drop-In: EM Financial Risk update – Gauging crisis risk amid geopolitical uncertainty

How are economic and financial risks evolving across emerging markets as the US and Iran struggle to find an offramp and energy prices remain volatile? Where are the biggest vulnerabilities in currencies, banking systems and sovereign debt markets, and which economies are most at risk of crisis?

On Wednesday, 5th August, our economists discussed the latest quarterly update to our proprietary EM Financial Risk Indicators. During this concise session, they explained what the latest signals indicate about financial stability across emerging markets and answered your questions, addressing key issues that included:

• How five months of conflict in the Middle East have shaped financial risks across emerging markets;
• The one EM where our economists see banking crisis risk rising most clearly;
• The EMs that our economists think investors should be watching more closely.