Private equity investment in emerging markets has risen by two thirds to hit a record $26.2bn (€17.8bn), but investors warn rising commodity prices may restrict transactions this year.

Richard Laing, chief executive of the £2bn (€2.7bn) UK Government-owned emerging market fund of funds investor CDC, said: “A high proportion of growth in emerging markets has been as a result of the increase in disposable consumer incomes. An increase in commodity prices will inevitably affect consumers’ disposable income, given the increased cost of food and transport, and ultimately will affect the performance and price of consumer-facing businesses.”