BRICS economies facing ‘perfect storm’, says IIF

The BRICS economies are facing a perfect storm of capital outflow, high enterprise debt, falling commodity prices and a decline in exports from emerging markets, according to the latest Global Markets Capital Research paper from the Institute of International Finance (IIF). While the Institute acknowledges that these are factors that will affect the global economy as a whole, their repercussions are likely to be particularly acute in Brazil which is suffering from weak economic conditions, and a series of protracted political and social crises; and China, which  is trying to halt the collapse of its stock market and reverse the slowdown in its GDP  growth. The  most vulnerable economies, it believes,  are Turkey, Russia and South Africa where the situation is aggravated by “the impact of policies on economic decision-making.

Source: Rosbalt