Fitch: Further Improvements in Frontier Market Growth

9/1/2018/Fitch Ratings

Economic performance across frontier emerging markets generally remained positive 2H17 as the global economy continued to strengthen and hard commodity prices increased, according to Fitch Ratings’ latest Frontier Vision chart pack.

Several countries saw rising GDP growth in 3Q17, including Nigeria, Ghana, Tunisia, Senegal, Mongolia, Vietnam, Belarus, Paraguay, Bolivia and Jamaica, although economic activity slowed in Sri-Lanka, Ecuador, Georgia, Belize, Cote d’Ivoire and Kenya.

Over two-thirds of 31 frontier EMs on JP Morgan’s Next Generation Market Index (NEXGEM) have seen an improvement in industrial production and merchandise exports since the previous edition of the chart pack published in October 2017 and over half have seen an increase in foreign exchange reserves.

Fitch’s Frontier Vision chart pack tracks high frequency macroeconomic data for the 35 countries included in NEXGEM. The charts cover five years of historical data and the choice of data series has been harmonised as far as possible across all countries to facilitate comparisons. The index comprises 35 countries representing Sub-Saharan Africa, Central America, the Caribbean, the Middle East, Europe and Asia.