The US Federal Reserve building in Washington on July 1. The monetary policies undertaken by the Fed and other major central banks in response to the Covid-19 pandemic have created more room for central banks in emerging economies to experiment with and pursue new policies. Photo: AFP The US Federal Reserve building in Washington on July 1. The monetary policies undertaken by the Fed and other major central banks in response to the Covid-19 pandemic have created more room for central banks in emerging economies to experiment with and pursue new policies. Photo: AFP
The US Federal Reserve building in Washington on July 1. The monetary policies undertaken by the Fed and other major central banks in response to the Covid-19 pandemic have created more room for central banks in emerging economies to experiment with and pursue new policies. Photo: AFP
Piroska Nagy-Mohacsi
Opinion

Opinion

The View by Piroska Nagy-Mohacsi

Coronavirus recovery: how the stimulus splurge in advanced economies has opened doors for emerging markets

  • The spillover effects from quantitative easing in the world’s biggest economies have helped emerging markets broaden their toolkit of monetary policy
  • There are limits to the benefits of this new freedom, though, as a prolonged recession will inevitably hit balance sheets and lead to bankruptcies and bad loans

The US Federal Reserve building in Washington on July 1. The monetary policies undertaken by the Fed and other major central banks in response to the Covid-19 pandemic have created more room for central banks in emerging economies to experiment with and pursue new policies. Photo: AFP The US Federal Reserve building in Washington on July 1. The monetary policies undertaken by the Fed and other major central banks in response to the Covid-19 pandemic have created more room for central banks in emerging economies to experiment with and pursue new policies. Photo: AFP
The US Federal Reserve building in Washington on July 1. The monetary policies undertaken by the Fed and other major central banks in response to the Covid-19 pandemic have created more room for central banks in emerging economies to experiment with and pursue new policies. Photo: AFP
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Piroska Nagy-Mohacsi

Piroska Nagy-Mohacsi

Piroska Nagy-Mohacsi is programme director and senior fellow at the Institute of Global Affairs, London School of Economics.