What to make of EM central bank bonds purchases

EM central banks have acted swiftly in response to the coronavirus crisis, including adding bond purchases to their toolkit. These are aimed primarily at reducing credit spreads and stabilising the financial system rather than a QE-style loosening of monetary conditions. But the moves suggest that QE may soon become a feature in those EMs where policy rates are nearing zero.
Liam Peach Emerging Markets Economist
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