Ukraine is swept up in a far larger outflow of dollars across Emerging Markets since late January

Ukraine is swept up in a far larger outflow of dollars across Emerging Markets since late January, the Institute of International Finance reported Tuesday. “Our high-frequency capital flows trackers point to a sudden stop in EM due to the combination of uncertainty around the spread of COVID-19, and large oil price and financial shocks,” says the Washington-based association of 500 international financial institutions. “The trackers point to an unprecedented shock to nonresident flows to EM since the COVID-19 outbreak became a global concern in late January. Cumulative capital outflows since the COVID-19 episode began in late January are already twice as large as in the global financial crisis and dwarf stress events such as the China devaluation scare of 2015 and the taper tantrum in 2014.”