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Explanations

Impact of higher interest rates on emerging markets

Graham Watson

6th August 2023

Here is a really interesting clip looking at how higher interest rates in developed countries have adverse implications for emerging markets - higher borrowing costs, the possibility of capital flight causing depreciation and increasing inflationary pressure, as well as risks to economic stability.

This clip also looks at how the IMF attempts to help emerging markets overcomes some of these issues. It's well worth a watch.

Impact of higher interest rates on emerging markets

Graham Watson

Graham Watson has taught Economics for over twenty years. He contributes to tutor2u, reads voraciously and is interested in all aspects of Teaching and Learning.

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