I started this blog almost two years ago with the intention of writing on the South African economy and fixed income markets. Over the years i have infrequently written commentary for clients, newspapers and magazines and this blog was an attempt to create some routine as i looked to improve my writing and increase my output. Unfortunately this blog, like 95% of blogs out there, died a quick death.
A short while after starting this blog i moved firms, joining ABAX Investments in early 2012. I continued to look after the same Fixed Income and Absolute Return funds that i had been managing for several years, but the processes of moving across to the new firm and taking on some new funds kept me quite busy, which meant that the blog was sidelined.
I have been meaning to restart the blog for some time and this article by Matt Phillips in Quartz finally riled me up enough to go through with it:
“The crisis enveloping India’s currency just got serious. Here’s how to stop it”
Matt Phillips’s suggestions to combat India’s currency crisis by “fighting the market”, “borrowing” and “clamping down on flows” are some of the most counterproductive imaginable. The Indian response has been a poorly planned, with a string of makeshift policies which have only served to exacerbate the currency weakness. The challenges facing the Indian economy are similar to those in South Africa and this will be the focus of my comeback post due in the coming days.