Deeper US recession spells big trouble for India, says Swaminathan Aiyar
“It is entirely possible that if the Fed keeps raising interest rates, it can spark a recession in the USA by squeezing activity. At the same time, the rise in interest rates by the Fed can spark an enormous flow of dollars out of all emerging markets. We would be hit by something different, not only a fall in demand but also a huge exodus of dollars out of emerging markets.”
