Latin America Economic Outlook Weaker growth to be met with policy stimulus A combination of weak growth and deepening debt crises in the G7 and softer demand from China means that the economies of Latin America are likely to slow by more than most expect over the next few... 18th November 2011 · 1 min read
Latin America Economics Update Chile, Peru play a waiting game on rates The Central Bank of Chile (CBC) kept its policy rate at 5.25% for a fifth successive month last night. While policymakers in Chile and Peru will continue to exercise caution by not rushing into easing... 16th November 2011 · 1 min read
Latin America Economics Update What are the implications of Argentina's subsidy cuts? Initial measures aimed at reducing Argentina’s growing subsidy bill are too small to make a meaningful difference to the public finances. Nevertheless, the commitment to review the entire subsidy... 14th November 2011 · 1 min read
Latin America Economics Update Peru: modest rate cuts likely in 2012 Policy makers in Peru left interest rates unchanged at 4.25% last night. In the very near-term strong domestic conditions, rising inflation and a planned fiscal stimulus will deter rate cuts, despite... 11th November 2011 · 1 min read
Latin America Economics Update Brazilian inflation has peaked The official release of October’s inflation data this morning confirmed what yesterday’s leak from the statistics agency had suggested – Brazilian inflation has peaked. We expect it to fall back to... 11th November 2011 · 1 min read
Latin America Economics Update Ecuador’s current pace of growth is unsustainable Ecuador’s rapid pace of recent growth has been built on rising prices in global oil markets. With energy prices more likely to fall back than rise over the next 6-12 months, we expect the economy to... 9th November 2011 · 1 min read
Latin America Economics Update Concerns about Mexican inflation fading, rate cuts on the way Three months after the sell-off of the peso began, there are still few signs that the weaker currency has passed through to higher inflation. Indeed, we continue to expect inflation to remain close to... 9th November 2011 · 1 min read
Latin America Economics Update Colombia-US trade agreement could ease Dutch Disease News that the Free Trade Agreement between Colombia and the US has finally been signed is clearly positive. Not only should the pact boost trade between the two nations, but the elimination of tariffs... 8th November 2011 · 1 min read
Latin America Economics Update Is there a floor on Brazilian interest rates? The decision by Brazil’s central bank to start monetary easing has revived talk about a “floor” on interest rates in Latin America’s largest economy. At present, the minimum rate of return on popular... 2nd November 2011 · 1 min read
Latin America Economics Update Brazilian industry slides into recession Data released today confirmed that Brazilian industry slipped into recession in Q3, while the manufacturing PMI points to a difficult Q4. In response, the recent imposition of trade tariffs sets a... 1st November 2011 · 1 min read
Latin America Economics Update Argentina: currency controls could prove self-defeating The raft of measures announced by Argentina’s government over the past few days to stem capital flight is unlikely to prevent further falls in the peso. Indeed, there is a real and growing risk that... 31st October 2011 · 1 min read
Latin America Economics Update Colombian interest rates could still fall next year The Central Bank of Colombia (BANREP) left interest rates on hold at 4.5% on Friday night, but signalled a willingness to hike rates if the global environment improves. Nonetheless, while the... 31st October 2011 · 1 min read
Latin America Chart Pack Growth slows in the “big two” Growth has slowed sharply in Brazil and Mexico – Latin America’s two largest economies – over the past quarter. In Brazil, there are tentative signs that a two-year boom in domestic demand has started... 29th October 2011 · 1 min read
Latin America Economics Focus How healthy is Brazil's fiscal position? The Brazilian public finances have improved beyond measure following the various debt crises of the 1980s. But government debt remains high by regional standards, and could rise further, perhaps to as... 27th October 2011 · 1 min read
Latin America Economics Update Worrying signs from Brazil's current account (again) Today’s current account data from Brazil provide further evidence that growth in Latin America’s largest economy is slowing sharply. 26th October 2011 · 1 min read
