EM Fixed Income: Give EM Credit Where It’s Due EM Corporate 2025 Default Outlook

At Any Rate

In this podcast, we discuss our recently launched default outlook for 2025. Our 2025 EM Corporate HY default forecast is 2.7%. If achieved, it will be another below average default year, extending the improvement trend from 7-14% default rates between 2021-2023. Such default rates would also be modestly below DM credit. Regionally, we expect 3.0% for Asia, 3.4% for Latin America, 2.8% for EM Europe, and 0.5% for Middle East & Africa. In this discussion, we cover the drivers of our sanguine expectations, differentiation by region and segment, as well as risks to our base case expectations.

Speakers
Yang-Myung Hong, Emerging Markets Corporate Strategy

Alisa Meyers, Emerging Markets Corporate Strategy

This podcast was recorded on 25 Oct 2024.

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