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The US-based Moody’s Investors Service released its quarterly global macroeconomic outlook update for May, highlighting the following key points.

Global economic growth expected to continue in 2018.

Albeit moderate by year-end as credit conditions tighten amid rising rates.

Emerging Markets (EM) countries to grow by 5.2% in 2018, 2019 – down from 5.3% in 2017.

Financial market turbulence in EM poses risks of a broader negative spillover.

There is a risk that high oil prices will weigh on purchasing power.

May also present an upside risk to inflation.

Rising interest rates and currency depreciation means EM will not be able to provide monetary policy accommodation for much longer.