Rapidly ageing societies in developing countries represent important markets for consumer companies. However, it should be understood that vast cohorts of elderly people heading into the sunny uplands of their lives does not necessarily imply a bright future for investors.
It’s easy to overlook the ageing trend in emerging markets. Countries like India and China are home to the world’s youngest populations in terms of size. Yet as birth rates decline and healthcare improves, older people will constitute a growing percentage of the population. In the top 12 emerging markets, the over-65 demographic is growing at an annual rate of approximately 3.7 per cent (see chart) — nearly double the rate in developed countries. Continue reading »
After taking a battering from Brazil’s president Dilma Rousseff in her effort to win back a lead in the polls, rival candidate Marina Silva has responded with an emotional advertisement calculated to win over low-income voters.
Emerging market stocks are suffering their longest slide in a decade. James Kynge, emerging markets editor, discusses with capital markets correspondent Elaine Moore the factors behind the falling popularity of EM assets and whether an end is in sight.
* PBoC injects $81bn into banking system | China’s central bank has injected Rmb500bn into the banking system, according to local media reports, in the latest attempt by the authorities to prop up flagging growth
The latest UN annual report on hunger and food security is a sobering reminder of the challenges that Africa faces in spite of a recent improvement in economic growth and governance.
The State of Food Insecurity in the World, published by the Food and Agricultural Organization (FAO), the International Fund for Agricultural Development and the World Food Programme, says that the reduction in global hunger continued with numbers of undernourished people falling from 840m in 2008-2010 to 805m in 2012-2014. Continue reading »
Is this month’s bear run in EM equities merely a correction or the start of something big? As fast FT reports, the FTSE Emerging Market index is heading for its longest sustained losing streak since September 2001.
Anyone looking for signs of a structural shift will be interested in the chart below from Fitch Ratings, showing an improvement in both ratings and outlooks in the developed world that is the opposite of a strongly negative trend in EM this year. Continue reading »
The tide of global democratic change, which at the start of the new millennium looked like an unstoppable force of nature, has been turned back over the last decade. How serious and prolonged this reversal turns out to be is open to question. What cannot be doubted is the direction of travel. In its most recent annual survey, the respected think tank Freedom House recorded a net decline in world freedom for the eighth year in a row. While political rights and civil liberties improved in 40 countries, they deteriorated in 54. Continue reading »
Emerging markets are heading for their longest uninterrupted slide in almost two years, as Chinese growth concerns add to fears over the impact of the US dollar’s resurgence and the possibility of US interest rate hikes on the horizon, fast FT reports.
The FTSE Emerging Index of developing stock markets has fallen another 0.7 per cent today, its eighth consecutive day of declines and the longest losing streak since November 2012. Not even in the depths of the global financial crisis did the gauge fall for eight straight days.