India drops to 6th among emerging market peers after ruling at 1st for months
Subscribe to enjoy similar stories. India dominated Mint’s Emerging Markets Tracker holding the top rank for seven consecutive months, but fell to sixth position in August despite strong economic growth, robust manufacturing activity and moderating inflation.
India had consistently held the top spot in the tracker for 15 out of 17 months between March 2023 and July 2024. In August, Malaysia claimed the first position in the EM league table backed by superior currency growth relative to its emerging market peers, followed by The Philippines, which witnessed a strong stock market performance, and Thailand, which saw strong exports growth.
The massive decline in India’s ranking was mainly due to a 9.3% year-on-year contraction in export growth in August, while some of the higher-ranked countries saw strong growth. India preparing strategic plan to set up over 50 e-commerce export hubs, target $100 billion in exports Rapid: A new mission to power up India's manufacturing engines GDP: How consumers saved the day as government spending slowed during polls What also proved to be a massive drag on India was the stock market's performance amid global volatility due to the unwinding of yen carry trade and fears of a recession in the US.
The Indian stock market’s average monthly capitalization fell by 3.6%, while most other countries saw decent performance by their stock markets. India had benefited from strong stock market performance in the two months prior.
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