Emerging market net capital flow negative in 2015, first time since 1988 -IIF
By Karin Strohecker
LONDON Oct 1 (Reuters) - Net capital flows to emerging markets will be negative this year for the first time since 1988, with foreign investment halving from last year and heavy outflows from residents, the Institute of International Finance said on Thursday.
Foreign investment flows are expected to total $548 billion in 2015 compared to $1,074 billion last year, the IIF said in a report, while outward flows from citizens had accelerated and would hit $1.089 trillion this year.
"(The) decline has been driven by a sustained slowdown in EM growth, and in particular by uncertainty about China's economy amid continuing concerns about the impact of the Fed's eventual turn to raise U.S. interest rates," the IIF said. (Additional reporting by Sujata Rao; Editing by Catherine Evans)
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