The recent global crisis did not derail the rise of emerging economies but only accelerated it. Investors were too quick to conclude the crisis was global as doomsday scenarios proliferated. It turned out to be only “half-global” because most emerging economies started out with resilient banking systems and prudent macro-policies.

In contrast to the Mexican and Asian crises of the 1990s, this time the crisis was imported and not of their own making. Unlike the US and much of Europe, emerging economies passed the financial crisis with flying colours.