IMF Warned The US Federal Reserve!

IMF warned the US Federal Reserve! The IMF stated that the country's markets may return to 2013.

The International Monetary Fund (IMF) reminded the events of 2013 and issued a new warning regarding the emerging markets. The IMF pointed out that the potential surprise tightening of the US Federal Reserve (FED) could lead to portfolio outflows in emerging markets by causing an increase in borrowing costs, and pointed out that the guidance of central banks is critical. In the analysis section of the World Economic Outlook report, the fund, with the effect of coronavirus (Covid-19) vaccinations and good news about economic expectations, stated that the rising market interest rates in the USA may increase portfolio inflows, as well as narrowing the scissors in dollar-based borrowing for many emerging markets. brought. In the aforementioned section, IMF economists Philipp Engler, Roberto Piazza and Galen Sher stated that if central banks in developed countries expressed their concerns about inflation risks, the world could face a surprise tightening in financial conditions like the taper tantrum period in 2013.   This article has contributions of Bloomberg HT.