Did all Emerging Equity Markets get Equally Affected by Covid-19? Role of Market Characteristics, Economic Conditions, and Government Policies

Hilal Anwar Butt, Mohsin Sadaqat and Syed Mujahid Hussain ()
Additional contact information
Syed Mujahid Hussain: Sultan Qaboos University, Oman

Review of Development Finance Journal, 2022, vol. 12, issue 2, 56-63

Abstract: The Covid-19 pandemic wreaked havoc on global economies. Emerging markets were hit particularly harder during the Covid- 19 pandemic due to their reliance on exports, tourism, and weaker fiscal policies. This paper aims to analyze the performance of the equity markets of 22 developing countries based on their average firm-related characteristics, macroeconomic conditions, and freedom variables during the early outbreak of Covid-19. Our results show that leverage, the fiscal health of the country, and financial freedom were the most important variables for emerging market countries as they provided resilience during the Pandemic. These findings have clear policy implications and are important for the sustainability of emerging stock markets.

Keywords: Covid-19; emerging markets; leverage; fiscal health; financial freedom (search for similar items in EconPapers)
JEL-codes: G11 G12 (search for similar items in EconPapers)
Date: 2022
References: Add references at CitEc
Citations:

Downloads: (external link)
https://journals.co.za/doi/abs/10.10520/ejc-rdfin_v12_n2_a6 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:afj:journ3:v:12:y:2022:i:2:p:56-63

Access Statistics for this article

More articles in Review of Development Finance Journal from Chartered Institute of Development Finance Contact information at EDIRC.
Bibliographic data for series maintained by Kirk De Doncker ().