Inflows into EM financial markets have held up well over the past few weeks, with particularly strong inflows into local equities. That said, if we are right that a renewed period of global risk aversion lies in store, we suspect that these inflows will slow. That’s a particular risk for EMs with large current account deficits – Colombia and Romania are two countries that stand out as causes for concern.
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