About this work
Emerging markets responded to the pandemic differently from earlier crises by easing monetary policy to support domestic activity. Jonathan Fortun and coauthors explain how additional liquidity helped governments borrow in local bond markets. Their December 2020 assessment nevertheless finds smaller fiscal support than in advanced economies and anticipates tightening across most emerging markets in 2021.
Abstract
Emerging markets responded to the pandemic differently from earlier crises by easing monetary policy to support domestic activity. Jonathan Fortun and coauthors explain how additional liquidity helped governments borrow in local bond markets. Their December 2020 assessment nevertheless finds smaller fiscal support than in advanced economies and anticipates tightening across most emerging markets in 2021.
Cite this work
Jonathan Fortun, Esther Grambs, Benjamin Hilgenstock, Yuanliu Hu, Elina Ribakova (2020). Macro Notes: Taking Stock of the 2020 EM Policy Response. Institute of International Finance.