Fund manager Kunjal Gala takes a view on the coming opportunities and challenges for investors in emerging markets.
Welcome to the Global Emerging Markets 2022 outlook in which fund manager Kunjal Gala looks ahead to challenges and opportunities in the developing world in the coming months.
- Recent data points suggest inflation is close to peaking. Growth and not inflation is likely to be a key challenge in the future
- While inflation will moderate going forward, it might stay at an elevated level compared to history driven by factors such as – supply chains slow at adjusting, structural shortage of critical commodities, and spending towards infrastructure/decarbonisation (effectively acting as a fiscal boost)
- Political and geopolitical uncertainty remains high globally, with some crucial political events occurring in 2022 that are likely to change the course of policy