THE WORLD’S major developing economies saw output growth rise slightly last month, according to the latest HSBC emerging markets index, released today.
The bank’s purchasing managers’ index (PMI) for the economies rose to 51.7, up from last month’s 50.7, and above the 50 mark which signals growth.
However, performance is still lacklustre in comparison to previous results, after a difficult summer for many of the economies. During speculation about the tapering of the Federal Reserve’s QE programme, many countries suffered from a credit shock.
China has made notable improvement last month, with new export orders for manufacturers rising at the fastest rate for a year.
The Indian economy is still suffering from a downturn, with firms reporting that output is continuing to decline.
Simon Williams, HSBC’s chief economist for the middle east and north Africa, commented: “The survey also suggests that the pick up is broad based, with fifteen of the eighteen emerging markets covered by the PMI series showing an increase in month-on-month output.”