Daniel Mminele: Recent developments in emerging economies' foreign exchange markets

Keynote address by Mr Daniel Mminele, Deputy Governor of the South African Reserve Bank, at the Bloomberg FX'18 Johannesburg: South Africa Economy in Focus event, Johannesburg, 28 November 2018.

The views expressed in this speech are those of the speaker and not the view of the BIS.

Good afternoon, ladies and gentlemen.

This year has certainly been another challenging one for the foreign exchange (FX) market.

The emerging market (EM) currency complex has just emerged from one of the steepest corrections since the taper tantrum of 2013. Some of the worst-hit currencies have recovered from their year-to-date lows, including the Argentine peso, the Brazilian real, the Turkish lira, and the South African rand. But the broader EM basket, as measured by the JP Morgan Emerging Market Currency Index, remains close to its lowest levels on record.