Emerging markets pass capital flows test

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Emerging markets have become much more resilient in dealing with international capital inflows, while better leveraging the benefits of inward investment.

The Bank for International Settlements’ Committee on the Global Financial System highlights these findings in a recent report, Changing patterns of capital flows. For the first time, the committee concludes that capital flows bring a net benefit.

The study finds emerging economies have a changed relationship to global capital, mainly because

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