Emerging market News

Global hedge fund investors remain positive about their growth and return prospects and are focused on emerging market this year with a particular emphasis on Asia Pacific and India, says a report.

Emerging market growth is expected to improve to 4.7 percent in 2017 from 4 percent this year as more economies, including India, will transition towards gradual recovery, says a Morgan Stanley report.

Germany has lowered its growth forecast for 2016 in the face of an emerging market slowdown that is dampening exports, leaving domestic demand as the sole pillar of support for Europe`s biggest economy this year.

The outlook for the global economy next year is darkening, with a US recession and China becoming the first major emerging market to slash interest rates to zero both potential scenarios, according to Citi. 

India Ratings Monday said the rupee has outperformed most of its peers in the emerging economies and the trend is likely to continue as the chances of US Fed raising interest rate in December are bleak.

Moody's Investors Service today said emerging market (EM) economies with limited foreign exchange buffers are more at risk to a rise in interest rates in the US.

Mobile banking has risen significantly in emerging market economies like India and China and the number of such users globally is expected to double in the next four years, a KMPG and UBS research says.

Raghuram Rajan has said macroeconomic fundamentals of the country have improved over the past two years and emerging market economies like India are better.

Capital flows to emerging economies are projected to fall to $981 billion this year, their lowest level since 2009, from $1.05 trillion in 2014, due to disappointing economic growth, a drag from a potential U.S. interest rate rise and a drop in investment in Russia, the Institute of International Finance said on Thursday.

India is better positioned to cope with external financial shocks than most emerging market economies, International Monetary Fund head Christine Lagarde said.

India's macro-economic prospects have improved and is best positioned among emerging market economies, gaining global investor's attention, says a report.