Five Emerging Market Developments - 26/07/2021

North Macedonia - Government repays seven-year EUR 500mn Eurobond from 2014
• Government reduces public debt-to-GDP ratio by 4.4pps, brings it below 60% of GDP
• Eurobond repaid through proceeds from EUR 700mn 7Y Eurobond issue from March

Tunisia - President Saied suspends parliament, dismisses PM Mechichi
• Announcement comes after protests targeting Ennahdha's offices across the country
• President invokes Art 80 of the constitution for imminent danger hampering normal functioning
• President fails to consult head of government and president of parliament
• Article 80 explicitly states that parliament cannot be dissolved
• President takes over the executive, to govern by decree
• Other measures to be announced
• Ennahdha rejects the president's move, denouncing it as a coup

South Africa - President announces considerable new support for households and business
• Support package follows violent riots and looting that can wipe off almost 1ppt of GDP
• Previous support measures and extended and their scope increased
• State insurer Sasria to get support for riot claims

South Korea - Government expected to provide emergency cash handouts in late August
• Decision when to provide relief funds also depends on virus situation
• Parliament's approval of second supplementary budget gives green light to spending

Malaysia - Government already revoked all emergency ordinances – law minister
• Government to avoid vote on emergency ordinances during current parliamentary sitting
• Government also confirms it will not seek extension of emergency situation beyond Aug 1