Despite modest improvement in manufacturing, persistent overcapacity continues to weigh on emerging markets’ growth in 2016.
The Conference Board Economics Watch® Emerging Markets View: July 2016
The Conference Board Economics Watch® Emerging Markets View: July 2016
Global Economic Analysis
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Emerging economies’ manufacturing sector in the second quarter picked up thanks to fiscal stimulus in the first quarter (particularly in China and Southeast Asia) and solid consumer spending in most emerging (as well as mature) economies. Financial markets across emerging economies also saw improvement in recent weeks. However, growth prospects for emerging economies in 2016 remain weak due to persistent industrial overcapacity and lackluster private-sector investment.
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