PDF document available at: https://www.un.org/development/desa/dpad/wp-content/uploads/sites/45/PDFs/WESP_Monthly_Briefing/wesp_mb63.pdf

• Emerging economies face renewed financial turbulenceƒ
• U.S. economy registered robust GDP growth in the fourth quarter of 2013
• ƒLast quarter of 2013 revealed a heterogeneous economic performance in developing world

In January 2014, the currencies of several developing economies depreciated sharply vis-à-vis the U.S. dollar once again, repeating the episode of the summer of 2013 when the United States Federal Reserve (Fed) announced its intention to begin tapering the purchase of long-term assets in the near future. This new episode may indicate a revaluation of financial positions in emerging economies, triggering further capital outflows and requiring painful monetary adjustments, particularly for countries that have relied on relatively accommodative monetary conditions to boost their economies.