It’s dangerous to group all emerging markets into one convenient basket, even within a region their prospects vary dramatically. Not all are suffering from a slump, but equally not all are dynamic, fast-growing economies. In a time of heightened geopolitical tensions, and with risks to the global economy seeming to increase on a daily basis, the devil is in the detail.
Bright stars include smaller emerging markets such as Turkmenistan, Laos, Rwanda and Cambodia. India is also seeing something of a turnaround with growth expected to come in at 5.4% in 2014 and 6.7% in 2015 supported by an upturn in business confidence following the presidential election, lower commodity prices and policy reform. Bangladesh and Nigeria are also expected to put in strong performances.
Real GDP Growth in Selected Emerging Markets: 2014-2030
Source: Euromonitor International from national statistics/Eurostat/OECD/UN/IMF