Diverse Region with Tremendous Potential to Create Value
We believe Latin America is a region poised for signiﬁcant growth and participation in the global economy. Latin America was hard hit by COVID-19. The 7.4% loss in GDP was the largest in any region in 2020.
LATAM governments are taking action to ensure ﬁscal, monetary and ﬁnancial sustainability with urgent reforms to improve ﬁscal outcomes and foster growth. These measures aim to boost productivity.
Abundance of Natural Resources
Leading Producer and Exporter of Food and Agricultural Products
Significant Positive and Economic Changes as the Government Focuses on Reform and Stabilization in Much of the Region
- Funded the world’s most impressive counter-cyclical economic relief program to aid COVID lockdowns.
- First-world style vaccination program far ahead of any other country in the regions.
- Rising prices and demand for copper and food products has the potential to bring billions in foreign currency into Chile, strengthening the Peso.
- Continues to steer a net positive and sensible economic path.
- GDP growth has shown a steady rise driven by progressive increases in household consumption and investment.
- Productivity boosts from deeper integration into the global economy and rising domestic competition.
- Economy expected to grow by 10% in 2021 helped by macroeconomic stability by new administration.
- Economy rebounding after sharp contraction in 2020.
- Upward trajectory of commodity prices should benefit LATAM near term. We believe global trade, commodity prices and financial conditions should provide tailwinds for the region’s recovery.