Emerged Markets? A New Era of Growth

A summary of our thought leadership on the resilience of Emerging Markets

Emerging markets have moved beyond their former status as secondary players in the global economy. Today, they are shaping growth narratives with confidence, leveraging technology, talent, and resilience to accelerate transformation at a pace many developed economies cannot match. This shift is not simply about numbers, although the figures are compelling. It reflects the rise of new financial ecosystems and a growing appetite for sophisticated services, supported by local innovation and global ambition.

Forecasts suggest that emerging markets will account for more than 60 per cent of global GDP growth in 2025, driven by investment in infrastructure, technology, and energy. Growth rates in these economies significantly outpace those of advanced nations, averaging 4.1 per cent compared with 1.5 per cent in developed markets. Asia Pacific and South America lead the charge with growth rates of 7.87 per cent and 5.2 per cent respectively, followed by Africa at 5.06 per cent and Eastern Europe at 4.58 per cent. These figures underscore a structural shift that is redefining global competitiveness.

Forces Driving Transformation

Several related forces underpin this momentum: accelerated economic sector diversification, rapid digital adoption, and evolving regulatory frameworks. Urban centres are expanding, middle-income populations are growing, and entrepreneurial ecosystems are thriving. Governments are prioritising transport networks, renewable energy, and digital infrastructure to support long-term development. Countries such as Türkiye, Colombia, and Côte d’Ivoire are investing billions in transport and energy projects to strengthen regional trade, while Mexico and Vietnam are capitalising on nearshoring trends to become key players in global manufacturing.

Digital technologies are central to this transformation. Mobile-first platforms are widening access to financial services, e-commerce, and essential utilities. In Africa and Southeast Asia, mobile banking and digital wallets are reaching populations that were previously excluded from formal financial systems. Latin America is experiencing rapid growth in online marketplaces and digital payment solutions, supported by affordable data and expanding connectivity. Global spending on digital transformation is projected to total $2.8 trillion by the end of 2025, up from $1.8 trillion in 2022.

“Most Indonesians have leapfrogged technology use from only a small percentage of people having a landline at home a decade or so ago, to now almost everyone having a smart phone",

Frans Sampelobo, IT Director, Moores Rowland Indonesia

“This has particularly helped the previously unbanked who can now do their banking online in the palm of their hand.”

Fintech ecosystems in cities such as Nairobi and Bogotá are revolutionising small business finance with tailored tools for underserved markets. These developments are not incremental; they represent a leapfrogging of legacy infrastructure, enabling emerging economies to bypass traditional banking models and accelerate financial inclusion.

Building Indonesia’s Digital Backbone: How Praxity Firms Empower Investors

Indonesia’s digital economy is on a upward march, projected to reach $360 billion by 2030. With 212 million internet users and a government committed to digital transformation, the country is fast becoming Southeast Asia’s data centre hotspot. Global tech giants and regional players are investing heavily in hyperscale and edge facilities to meet rising demand for cloud services and local data storage, driven in part by data sovereignty regulations that require certain data to remain within national borders.

"Research is showing that Indonesia’ fast-growing digital economy is reflected in the surge of investments in the data centre sector and AI infrastructure”,

Frans Sampelobo, IT Director, Moores Rowland Indonesia.

James Kallman, CEO, Moores Rowland Indonesia

“Investment trends are leaning away from the over-supplied office market to data centres and alternative segments such as logistics, education, healthcare, and hospitality."

The reality of establishing these data centres is not without its complexity. Setting up and operating a data centre in Indonesia involves navigating multi-layered regulatory frameworks, environmental obligations, and corporate compliance requirements. For investors, these challenges can slow progress and increase risk. This is where Praxity firms, such as Moores Rowland Indonesia, play a pivotal role not as transactional service providers, but as strategic partners enabling autonomy and sustainable growth.

Whatever way investors choose to enter the data centre market there will be implications for tax, liability, and operational flexibility. Praxity firms guide clients through these decisions, aligning structure with long-term objectives and ensuring compliance with Indonesia’s foreign investment rules. This strategic groundwork is essential for building a resilient presence in a fast-evolving market.

Data centres are classified as high-energy, high-resource infrastructure, making compliance a critical and complex task. Investors must secure company registration, construction permits, and environmental impact assessments (AMDAL), all while meeting the basic national and regional regulations. Delays or missteps can cause delay and increased cost.

Firms within the Alliance bring deep local knowledge and multidisciplinary expertise to streamline these processes, reducing friction and ensuring legal adherence. Their role is not just an administrative box ticking exercise, it’s about creating clarity in complexity so the investor can focus on the growth and not get lost in the weeds of compliance. As the carbon impact of critical infrastructure increases, sustainability has become a defining factor in data centre investment. Indonesia’s government now actively encourages renewable energy integration and energy-efficient construction. Praxity firms support clients in embedding ESG principles into their projects fostering client confidence in a time when sustainability measures are becoming non- negotiable.

The role of Praxity firms enable clients to operate with independence while still ensuring compliance. As Indonesia cements its status as Southeast Asia’s digital powerhouse, investors want to enter the market responsibly, efficiently, and sustainably. With Praxity firms as trusted advisors, this journey can be about growth and not complexity.

A Young Innovative Demographic

Innovation thrives in Emerging Markets, supported by flexible thinking and a willingness to experiment. Start-ups are developing solutions tailored to local challenges, from agricultural technology to logistics platforms. Public and private sectors are investing in incubators (to grow burgeoning business ideas) and research hubs, creating environments where ideas scale quickly. Staying close to these ecosystems with flexible models that can respond quickly to trends will enable professional services firms to capture emerging opportunities.

These markets are also home to large, youthful populations with growing access to education and digital skills. By 2030, two-thirds of the global youth workforce will be located in these economies. Firms such as JA Del Río in Mexico, Moores Rowland in Indonesia, Nwanda in South Africa, and FBM Advisory in Uruguay are investing in mentoring and structured knowledge-sharing programs. These initiatives develop skills in ESG compliance, renewable project financing, and cross-border tax planning, ensuring teams can support clients in complex sustainability transitions.

Spotlight on Africa – conversation with Africa and Middle East Regional Chair, Bob Borrill

Africa is not a single market - it is 52 sovereign states with distinct currencies, regulators, and all at different stages of development. As Bob Borrill notes,

Bob Borril, Managing Director, Nwanda Inc & Praxity Regional Chair Africa & Middle East

“You can’t talk about Africa as a homogeneous market… even within South Africa you’ll find first-world and third-world realities side by side.”

This diversity demands nuanced strategies rather than sweeping mass market approaches.

Growth is real but uneven. South Africa, Nigeria, and Kenya anchor formal services and finance, while resource-rich states attract investment in mining and energy. Infrastructure reliability is improving from a low base. “Power reliability is better now, businesses put solar on the roof and built around the grid,” says Bob. This bottom-up resilience reduces operational risk without masking ongoing fragility.

Africa’s digital story is mobile-led. Around three-quarters of South Africans have internet access, and mobile banking and e-commerce are thriving.

“Mobile banking and e-commerce are huge in South Africa… cloud tools and AI are freeing people to do higher-value work,” Bob explains. Mobile-first channels bypass legacy branch networks, accelerating financial inclusion and creating fertile ground for fintech partnerships.

Compliance frameworks are strengthening. South Africa’s removal from the FATF grey list followed significant upgrades in anti-money laundering controls. Bob is candid: enforcement remains uneven, but courts and professional oversight are strong. For cross-border operators, local knowledge is risk management, market-by-market exceptions on licensing, data handling, and reporting standards.

Necessity breeds innovation. African firms have adapted to volatility with distributed energy, flexible work models, and AI-driven automation. “Constraint bred agility,” Bob observes. These solutions; backup systems, mobile-first journeys are designed for resilience and often outperform traditional models.

South Africa produces high-calibre accountants and auditors, but shortages persist in finance, IT, and engineering. Global demand poaches top performers, forcing firms to offset gaps with process automation and cloud platforms. Bob highlights the mid-market advantage: “Younger professionals see everything early, accelerating their development.”

High mobile penetration and compliance uplift create space for scaled platforms in payments, lending, and e-commerce. Energy transition is another multi-year growth area with corporate and group investment in modernising the grid.

As some global networks scale back in higher-risk markets, locally rooted firms with global reach have room to win. Bob frames it simply: “Local knowledge is invaluable.” Praxity firms can de-risk market entry by navigating licensing, KYC/UBO, and exchange controls at speed, while designing resilient operating models that reflect local realities.

For professional services firms, these dynamics demand a shift in approach. Success depends on combining local insight with global expertise, designing resilient operating models, and leveraging technology to bridge talent gaps. Firms that understand the subtle differences of each market and commit to ongoing flexibility will be best positioned to help clients navigate complexity and capture growth.

Emerging markets are now setting the pace of global growth. Their trajectory is defined by innovation, connectivity, and resilience. For businesses and advisors alike, the message is clear: the future of global growth is being written in these regions, and those who engage early and with conviction will shape it.

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