How Does Geopolitics Affect Bond Yields in Emerging Markets? Some Findings From a Recent IMF Working Paper

‘Political, economic, and financial institutional quality are also found to be one of the key determinants of sovereign bond yields in emerging market economies…’

‘The higher the ICRG rating, the level of domestic bond yields tends to decrease.’

‘Fiscal Determinants of Domestic Sovereign Bond Yields in Emerging Market and Developing Economies’

Manabu Nose and Jeta Menkulasi
IMF Working Paper, (25/59), 2025.

The PRS Group
www.PRSGroup.com