Bank notes of different currencies are displayed on a wall in Hong Kong. Asia is better positioned to weather external shocks than other emerging markets – its macro conditions are robust and the region’s exchange rates have become more flexible, barring Hong Kong’s, which can serve as a shock absorber for domestic markets against volatile global capital flows. Photo: AFP
Opinion
Opinion
Macroscope
Asia will outlast the emerging market bears, regardless of the short-term flux
Aidan Yao says while the sell-off that has hit emerging markets as an asset class does carry the risk of contagion, Asia’s solid fundamentals will ensure it weathers the storm
Bank notes of different currencies are displayed on a wall in Hong Kong. Asia is better positioned to weather external shocks than other emerging markets – its macro conditions are robust and the region’s exchange rates have become more flexible, barring Hong Kong’s, which can serve as a shock absorber for domestic markets against volatile global capital flows. Photo: AFP