Fitch Says EM Is Vulnerable as Debt Balloons to $19 Trillion - Bloomberg

Fitch Says EM Is Vulnerable as Debt Balloons to $19 Trillion - Bloomberg:

"Debt levels that quadrupled in a decade have made emerging markets vulnerable to tightening financial conditions in the era of rising U.S. interest rates, Fitch Ratings said. Outstanding debt securities from developing nations have ballooned to $19 trillion from $5 trillion a decade earlier, the credit-rating company said in a report. Despite the development of local-currency bond markets, borrowers will be hobbled by higher external borrowing costs, a stronger dollar and slowdown of capital inflows, it said. Fitch estimates the Federal Reserve will raise rates at least six times by the end of next year."



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