Are investors shunning “democratic nations” in favour of “strongmen” who know how to deliver business-friendly results? Countries that practice “strongman” politics appear to have seen their equities and debt markets garner more interest from investors than those traditionally considered more democratic; or so Karin Strohecker and Marc Jones say in a disappointingly facile analytical piece for Reuters. They argue that high-fliers such as China, Egypt, Turkey, and more recently Poland (which elected a nationalist government) illustrate this trend. "Providing governments are responsible fiscally they can get away with a lot of undemocratic measures," said Renaissance Capital global chief economist Charles Robertson. What, then, of Zimbabwe and Venezuela?
More from Enterprise
Central Bank of Egypt looks to renew USD 2 bn Kuwaiti deposit as regional conflict stalls FDI conversions
The maturing USD 2 bn deposit is expected to be…
Miga guarantee unlocks USD 313 mn for National Bank of Egypt trade finance
Plus: Incolease taps securitization market with debut EGP 2 bn…
Ceasefire optimism triggers EGX30 rally and EGP recovery
The EGP gained around 2.5% on the greenback by the…
IBF & Company doubles down on logistics with Techno Metal acquisition
Plus: Lucky lands USD 23 mn in Series B round,…