The UK is a country of just 242 thousand square kilometers (compared to Mexico’s 1.9 mn, Argentina’s 2.7 mn and Brazil’s 8.4 mn) located about 7,000 km from Barbados and more than 7,500 km from anywhere on the mainland of Latin America (it’s just over 7,500 km from London to Simon Bolivar airport, Caracas and over 8,000 km to the Yucatan). Considering Latin America’s two … [Read more...] about BREXIT: What Does It Mean for Latin America and the Caribbean?
Latin America and the Caribbean rang in World Environment Day June 5th with much to celebrate. Home to the world’s largest expanse of tropical forest, its greatest species diversity, and some of its most abundant renewable energy resources, the region is ever more conscious of the importance of the environment to its future. Moreover, that awareness is spurring new initiatives … [Read more...] about Help the Economy, Save the Environment
The IDB’s 2016 Macro Report Time to Act outlines the tough policy conundrum facing the region: low growth to 2020, monetary policy—where it exists—limited by higher inflation and many countries being forced into pro-cyclical fiscal adjustment. What can countries do to boost economic activity, lower the risks of a high debt-low growth spiral and defend the social gains made in … [Read more...] about The Policy Conundrum in Latin America and the Caribbean: Let’s Revisit the Trade Agenda!
The policy recommendations of the IDB’s 2016 Macro Report Time to Act include deepening regional trade integration, a long-sought but still largely elusive goal. A casual observer may wonder why that goal matters. Even though the Free Trade Area of the Americas process failed to produce an agreement, Latin America and the Caribbean have fared well until relatively recently and … [Read more...] about Trade and Regional Integration: What We Don’t Have To Worry About
Over the last two years, Latin America has experienced significant movements in nominal exchange rates. Between June 2014 and October 2015, most of the larger countries in the region —including Argentina, Brazil, Colombia, Chile, Peru and Uruguay — saw nominal depreciations of at least 15 percent. The Brazilian Real lost more than 42 percent of its value vis-à-vis the US … [Read more...] about Have Latin American Countries Become More Competitive?