As the October 2017 meetings in Washington wind down, the good news is that Latin America and the Caribbean is out of recession and set to grow at 1.2% this year. Only three countries (Suriname, Trinidad and Tobago and Venezuela—of the 26 borrowing IDB members) will post negative growth, as opposed to seven countries last year (the other four in recession last year were … [Read more...] about Macroeconomic Challenges for Latin America and the Caribbean
Over the last three decades, Chile has led the way in promoting greater national savings in Latin America and the Caribbean. Beginning in the early 1980s with a pension reform that introduced mandatory savings through a system managed by the private sector, the country has implemented numerous measures that have boosted its savings rate. Privatizations were carried … [Read more...] about Making Saving a State Policy
In 2014 the government of the small and impoverished city of Flint in the United States decided to draw its municipal water from a different river than it had been accustomed to while it waited to connect to a cheaper water system. But the new water was corrosive to water pipes, and environmental officials made a fateful decision not to add chemicals that would protect them. By … [Read more...] about Better Savings for Better Infrastructure
Investing in infrastructure is crucial for a country’s economic performance and growth prospects. In fact, it not only can make a difference in people’s everyday lives by providing better roads and schools, but it can actually save lives. During the last decade, Chile and Haiti provided two contrasting examples of this in the face of earthquakes due to their different levels of … [Read more...] about What Does Saving Have to Do with Resilience to Natural Disasters?