August 2015 Analysis

Sovereign Debt Analysis - EM Sovereign Risk Rising; Pockets Of Resilience - 03 AUG 2015

Sovereign risk will continue to rise across emerging markets owing to the China slowdown, subdued commodity prices and currency weakness. Rising US interest rates will compound the pressure. Some economies will prove relatively resilient amid these headwinds: Chile, the Czech Republic, Egypt and the Philippines have favourable sovereign risk dynamics.