EM growth slowdown ‘bottomed out’ in 2022

Upward trend: Prime Minister Narendra Modi (centre) arrives for the opening of the budget session in Parliament in New Delhi. India’s economy is expected to grow over 6% this year and next, the biggest expansion among the leading economies. — AFP

NEW YORK: The International Monetary Fund (IMF) has raised its output growth estimate for emerging markets (EMs), with projections now showing the economic slowdown in the region may have bottomed out in 2022, on the back of China reopening, a resilient India and unexpected growth in Russia.

In its most recent update to the World Economic Outlook, the IMF sees growth in EMs and developing economies at 4% in 2023, 0.3 percentage points higher than its October projection and 0.1 percentage points higher than the 3.9% estimate for 2022. For 2024, the projection is for a 4.2% expansion.