Reported 7 months ago
According to the Institute of International Finance (IIF), foreign investment in emerging markets is expected to decrease by nearly 25% in 2025 due to anticipated tariffs from incoming U.S. President Donald Trump, a stronger U.S. dollar, and slower interest rate cuts. China is projected to face significant outflows, while non-China emerging markets may benefit from increased capital inflows, particularly in resource-rich regions like the Middle East and Africa. Overall, global growth is predicted to slow to 2.7%, further affecting capital flows to these markets, which the IIF warns could worsen if tariffs are implemented more aggressively.
Source: YAHOO