Emerging markets and developing economies (EMDE) are set to witness a significant economic transformation in the coming years. With projections indicating a remarkable Real GDP growth of 37% by 2025, these regions are poised to outstrip the growth of advanced economies, which are expected to see only a 14% increase, as enthusiastically stated in the publication.
Strength of Domestic Demand in EMDE
The anticipated growth in EMDE underscores the strength of domestic demand, which has remained robust despite global economic challenges. Proactive monetary policies implemented by various governments are also playing a crucial role in fostering this growth, enabling these economies to adapt and thrive in a rapidly changing environment.
Potential Structural Shift in the Global Economic Landscape
This divergence in growth rates signals a potential structural shift in the global economic landscape, as emerging markets increasingly become engines of growth. Investors and policymakers alike are closely monitoring these developments as they may reshape trade dynamics and investment strategies in the years to come.