Brazil backs Bolsanaro: what next? The will and ability to reform Financial markets, at least, had been rooting for a defeat of the left-wing candidate Fernando Haddad, successor to former president Lula, on the basis of the very different economic policies espoused by the two candidates. Superficially, this seems odd given that Bolsonaro has repeatedly voted against reform and spoken [...]
Following a raft of unimpressive data, can the Chinese economy avoid a hard landing? Craig Botham, emerging markets economist at Schroders, says Yes. Though marking a deceleration and disappointing expectations, the data does not suggest a hard landing is imminent. Rather, it remains commensurate with a soft landing; a gradual deceleration in the growth rate, to be expected after years of enviable growth. The most likely trigger for a hard [...]
As the World Bank cuts its GDP forecasts for China, is the country’s growth story ending? Craig Botham, emerging markets economist at Schroders, says Yes. The investment-led, credit-fuelled model that generated double digit growth is gone, and it’s not coming back. The economic stresses caused by annual credit growth of 30 to 40 per cent, and a 47 per cent share of investment in GDP, are well-documented and recognised – even [...]
Brazil’s World Cup woes expose a far more worrying economic reality July 9, 2014 The dream is over in Brazil; the illusion shattered. Despite President Dilma Rousseff’s claims that this would be the World Cup of all World Cups, for Brazilians it is now seen as the disgrace of disgraces. The national team’s hammering at the hands of Germany is likely to refocus attention on the tournament’s exorbitant cost [...]