Euro crisis drags down emerging manufacturers

THE EUROZONE crisis dampened emerging markets’ economic recovery, with HSBC’s emerging markets index, out yesterday, recording lacklustre growth in 2011’s last quarter.

The index edged slightly higher in the three-month period to 52.2, from 52.0 in the third quarter.

Any figure above 50 indicates expansion.

World trade declined through the year, dragging on sentiment, with further risk of damage from the Eurozone and other slowing economies.

Manufacturing declined particularly strongly in Taiwan and South Korea, and also slowed in China and Poland. However, services expanded solidly in Brazil and China.