How will the pandemic affect emerging markets?
Will Insurers be able to help emerging markets navigate their way through the pandemic?
The market has been holding its breath – and reserving – for the past year, as it waits to see how the pandemic will impact countries in emerging markets which already had very high levels of debt.
While whole government failures are thankfully unlikely, we are hearing from insurers that they expect more claims from selective default by sovereign borrowers in Q3 2021/Q1 2022 – when government backed trade credit support is withdrawn.
Where will the liquidity come from when that happens? ….Insurers?
Helen Meredith – Managing Director