Latin America in the driver’s seat

Stefan Hofer gives a rundown on why Latin America to be an attractive destination for global investors.

A recent annual meeting of the Inter-American Development Bank in Mexico, on the back of increased capital of the Islamic Development Bank is intended. A prominent theme among the participants that can be assembled in Latin America largely to two

categories of countries, financial stocks did not show up in material terms, while debt levels are still reasonably low, and these countries include Chile, Colombia and Peru, Brazil and Mexico. Weight of the second group is still having difficulty expected to fall in the part of the institutional challenges. This group includes Argentina, Venezuela and Ecuador. While the high energy and commodity prices generally. The State Development Bank and Bunco do Brazil will maintain or increase market share in domestic lending. Played a vital role in avoiding the credit crunch in Brazil, after Lehman Brothers, to compensate for the lack of credit in the private sector. But, as the normalization of global credit conditions, have shown little interest in reducing their operations.  

One of the key take always of the meetings of the Islamic Development Bank is the relative attractiveness of Mexico in the region. Exceptionally, the Central Bank and the Ministry of Finance in particular, are well managed.

Julius Baer. (2010, May 1). latin America in the driver's seat. Money work, lssue 138,