Emerging Markets

  • Brazil Riots: Citizens Unite In Contempt For Political Class

    Brazil Riots: Citizens Unite In Contempt For Political Class

    To outsiders, Brazilians don’t seem to have as much to complain about as the protesters in Greece, Turkey, or Egypt. Its economy has boomed for two decades and is now the world’s seventh largest. But inside Brazil, anger has been simmering for some time. Atrocious public services, government corruption and the extravagant spending on the FIFA World Cup are at the root of June’s mass demonstrations across 80 cities in Brazil.

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  • Is Africa Sowing Seeds Of Its Own Subprime Crisis?: Joseph Stiglitz & Hamid Rash

    Is Africa Sowing Seeds Of Its Own Subprime Crisis?: Joseph Stiglitz & Hamid Rashid

    There are no easy, risk-free paths to development and prosperity but borrowing money from international financial markets is a strategy with huge downside risks. It is no secret that sovereign bonds carry significantly higher borrowing costs than concessional debt does, so why are an increasing number of developing countries, particularly Sub-Saharan economies, resorting to sovereign-bond issues? And why have lenders suddenly found these countries desirable?

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  • Resource Rivalries: Japan and China Race To Invest in Africa

    Resource Rivalries: Japan and China Race To Invest in Africa

    The competition between China and Japan, the two economic heavyweights of East Asia, has now intensified at a time when both countries are hungrier than ever for resources and energy to cope with its development challenges. Earlier this month, Japan pledged some $32 billion in aid for Africa, a move designed in part to counter China’s rising influence on the resource-rich continent. But will Japan succeed, given China’s historical and political ties to the continent?

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  • What Africa Can Learn from East Asia’s Developmental Success: Joseph E. Stiglitz

    What Africa Can Learn from East Asia’s Developmental Success: Joseph E. Stiglitz

    The world has changed markedly since East Asia began its remarkable developmental transition more than a half-century ago: Their development policies worked while all too often, those that followed the neo-liberal “Washington Consensus” policy prescriptions failed miserably. In the decade to come, African countries will benefit from reflecting on these successes and failures, and on what they mean for their own development strategies.

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  • Emerging Markets Heading For Stagflation-Lite?

    Emerging Markets Heading For Stagflation-Lite?

    With many of the world’s major emerging economies now moving towards a stagflation-lite situation, where inflation sticky at high levels but with growth decelerating or stagnant, can leaders find the correct policy response?

    Here is an update on several emerging markets by my colleague Ilan Solot:

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  • Hugo Chavez’s Legacy: A Socialist Economy In Disarray

    Hugo Chavez’s Legacy: A Socialist Economy In Disrepair

    When examining the Venezuelan economy, there is no doubt that the poor did rather better under Chavez's regime than they had done under, what Chavez termed, "the rotten elites" that had ruled the country in the two decades prior. However, Chavez’s legacy, to any economically literate person, is to have bequeathed Venezuelans an economy that could hardly be in more of a mess.

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  • Kenya’s Oil: The Hottest Energy Prospect In Africa?

    Kenya’s Oil: The Hottest Energy Prospect In Africa?

    Kenya has become the hottest oil and gas venue in East Africa since big discoveries were made in the country's virgin oilfields last April. All eyes are on Kenya in 2013 to see how quickly – and economically they can develop those discoveries into production.

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  • Mexico’s Economic Risks: Will Ending Cartel Violence Prove An Impossible Task?

    Mexico’s Economic Risks: Will Ending Cartel Violence Prove An Impossible Task?

    Despite a deepening slowdown across Latin America, Mexico, the region’s second largest economy, is still headed for an annual growth rate of nearly 4 percent this year – more than double the expectation for rival Brazil. In order to sustain this growth however, Mexico now needs to not only reform its labour, financial and energy laws; but to put an end to its drug cartel violence, which has had a dampening effect on outside investment and tourism.

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  • Liberia's Historic Struggle To Escape The Resource Curse

    Liberia's Historic Struggle To Escape The Resource Curse

    Liberia is a nation rich with natural resources including iron ore, gold, diamonds, natural rubber, vast forest for logging and timber harvesting, and vast agriculture land for ensuring food security. Yet like many of their African counterparts, who are equally rich in natural resources; corruption, global volatility and the “Dutch Disease” have left the country under the spell of the Resource Curse – turning Liberia from one of the fastest growing economies in the world, to one of the poorest and underdeveloped.

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  • The Great East African Dream: Economic Integration For A Better Future

    The Great East African Dream: Economic Integration For A Better Future

    Despite possessing massive potential in natural resources, individual states within East Africa remain too small, and too fragmented, to fully utilise these resources in the global arena, without being exploited by larger and more developed economies. The hope of citizens as such lies in an East African Federation and, further down the line, a fully-integrated African state.

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