As 2019 draws to a close, Latin America and the Caribbean faces at least four big challenges. First, growth this year is well below potential. Second, potential growth is low. Third, the region remains subject to large shocks. And fourth, despite recent gains, inequality remains high and aspirations are outstripping the meagre outlook, contributing to protests across the region … [Read more...] about Towards Inclusive Growth in Latin America and the Caribbean
The 1988 Basel I Accord created a level playing field for international banks in terms of a minimum recommended amount of capital.It was probably the most successful financial standard ever conceived. More than 100 countries claimed to have implemented the agreement, and in many countries it was applied to all banks. Basel II was agreed upon in 2004. Many of its 216 pages … [Read more...] about Basel III and Financial Reforms: What Should Emerging Economies Do?
The outlook for the global economy has shifted from a situation of healthy, broad-based growth across the larger economic blocks to a more nuanced view of growth perspectives, with substantial risks clouding the horizons. Considering the 12 months from 2017 Q3 to 2018 Q3, growth in the United States was 3% but many suggest that this relatively high rate will fade through 2019 … [Read more...] about Putting Latin America and the Caribbean’s 2019 Growth Prospects in Perspective
On Sept. 15 2008, Lehman Brothers filed for bankruptcy heralding the most serious financial crisis since the Great Depression. A couple of years after, I was at a conference and a senior (European) official gave a presentation entitled The Global Financial Crisis, Lessons for Latin America. I asked whether there was a typo. Shouldn’t that be lessons from Latin America?, I … [Read more...] about Banks and the Global Financial Crisis 10 Years On: Lessons from Latin America and the Caribbean
As the global economy gains strength and Latin America and the Caribbean recovers from recession, the region is actually falling further behind, continuing to lose its share in global GDP and putting in jeopardy the aspirations of its growing middle class The reasons behind this are complex. But low investment and productivity are fundamental factors. They require significant … [Read more...] about Latin America Needs Greater Investment and Productivity. This Is Why