The Future Power of Financial Conditions in Emerging Markets

The issue of high debt, public or private is global although there are clearly differences across countries. I think that what we have seen in so far in the current environment is that because of stronger policy frameworks in emerging market economies and because of pre-entive action in some of them particularly in Latin America they have been fairing the choppy global waters better than in the past. Now of course that does not mean that we are out of the woods but it does mean that the countries are better equipped to deal with these competing challenges.