Will EM central banks follow the Fed?

While a handful of EM central banks (e.g. India, Czechia, Mexico) are likely to hike interest rates in the coming months, they will be doing so for domestic reasons not because of the Fed. More broadly, EM central bank decisions don’t track those in the US as closely as they did in the past. This time around, the bar for hiking rates in many emerging economies appears to be high. And by the middle of next year, the bias among EM central banks will probably have shifted towards monetary easing.