Search Results for: Argentina

For over two decades, Europe and the South American bloc have been negotiating a free trade agreement. Despite obstacles, they may soon agree on ratification.

The government of Argentina can chalk up its first modest successes in improving a badly distorted economy. But the peso’s recent bad run against the dollar has signaled there are limitations to President Macri’s play it by ear, gradualist approach to reforms.

Just eight months into his tenure, Argentina’s new president Alberto Fernandez has been thrown a trio of challenges. In the coming months, he must deal with the public health crisis, revive a deeply damaged economy, and consolidate power in his own fractured coalition.

Under President Macri, Argentina has fallen into the economic crisis once again. Last month, Argentines elected a new president, Alberto Fernandez, with former President Cristina Fernandez de Kirchner as his running mate. To end the downward spiral, Fernandez will have to deftly navigate a political scene and economic challenges.

Argentina’s President Mauricio Macri is in a tight spot before the elections. His government presides over cuts to public spending to secure a lifeline deal with the IMF. Mr. Macri’s hopes for inducing growth by restoring Argentina to the good graces of the financial markets did not materialize. But not all is lost for the pro-market reformer.

President Milei has proposed that Argentina adopt the U.S. dollar to help cure its economic woes. Politics and his own fiscal policy currently stand in the way.

Successive politicians have exacerbated Argentina’s chronic economic woes. But a new ‘super minister,’ backed by fresh International Monetary Fund loans, pledges sound policies at last.

The upstart right-wing populist is the presidential frontrunner. He appeals to young, alienated voters weary of the Latin American nation’s chronic economic woes.

The shifting dynamics of American foreign policy will reverberate throughout South America following the presidential vote in November.

Aging populations challenge pensions as declining fertility persists. Policymakers have made some pension reforms, but also need to boost productivity.

Nicolas Maduro’s disputed electoral win over Edmundo Gonzalez deepens Venezuela’s alignment with authoritarian regimes, triggering protests and repression.

Argentina lost its once-impressive wealth due to decades of socialist-style government mismanagement. Its new president, a radical economist, could turn things around.

Government debts resulting from excessive public spending damage growth. The cure – a period of austerity – seems politically suicidal. This is a perfect trap.

China has been ramping up cooperation with Latin America and the Caribbean as part of its strategic goal to gain space supremacy.

Latin America’s economies are facing a series of problems in 2019. Those, that failed to prepare for the current downturn in prices deal with a loss of revenues and foreign investment. Corruption and quality of life issues have presented other challenges, and the benefits of a recent trade deal with the EU are neither immediate nor assured.

Known in Latin America as a backwater haven for criminal enterprises and eccentric dictators, Paraguay began to turn around over the past decade. The country’s elite is taking steps to strengthen state institutions and improve the rule of law.

The citizens of middle-income Uruguay want living standards typical of more developed countries, and have elected Luis Lacalle Pou as their new president to achieve that goal. Radical politicians on both the right and the left could hamstring his government.

Just a few years ago, China was going all-in in Latin America, making huge investments in the region. Yet instability in Venezuela and a new government in Ecuador have exposed Beijing to greater risk. While China is still deepening ties, it has slowed down and changed tack, focusing only on investments that are a crucial strategic interest.

Restricting trade for the sake of fighting climate change risks having the opposite effect.

As President Morales gears up to run for an unconstitutional fourth term, Bolivian politics enter a pivotal year. The last member of Latin America’s “pink wave” of leftist governments that rose to power on the commodities boom of the early 2000s must now deal with slumping hydrocarbon revenues and disillusioned public.

In Latin America, a new electoral super cycle could dramatically change the continent’s political landscape and put authoritarianism back on the map. Several trends are emerging, most notably a departure from established parties.

Uruguay scores perfect tens on civil liberties and the electoral process in the World Bank’s rule of law index – matching Norway and New Zealand. The country’s internal stability is buttressed by an ambitious social welfare system.

Following economic downturns caused by Covid-19, the war in Ukraine is threatening to push the region into recession, challenging the skills and wisdom of politicians.

The rise of the middle class and the boom in information technology have made corruption less acceptable than it once was in Latin America. Nevertheless, graft remains a problem across the continent. Constitutional reforms could improve the situation, but Latin American countries are more likely to rely on new legislation.

After a difficult decade of authoritarian leadership and high crime levels, Paraguay appears to be on the path to stability – thanks to President Abdo Benitez’s rapid reaction to the pandemic. If the Chinese economy recovers, Paraguay could find itself in an enviable position.

As China has been becoming an increasingly important player in the economy of Latin America, Beijing kept a low profile. Now, it can no longer avoid the spotlight. In Chile, Venezuela, Ecuador, Brazil, and Cuba, its position leads to challenges. The question is how assertive it become in imposing its will on the countries and how they react.

Why does Latin America’s economic growth remain so sluggish? Economists have addressed the question with reams of analysis, but the answer is simple: low productivity. That, in turn, has been caused by government involvement that has stifled competition and innovation. 

A truly multipolar world would dilute the importance of China and the United States, but the two superpower rivals are not going to cede influence easily.

The Odebrecht scandal, which started off as the Petrobras scandal in Brazil, has sent ripple effects throughout Latin America. It has brought down some regimes and even landed powerful leaders in jail. Perhaps the most important result is voters’ distrust of the traditional political forces.

All around, the wind seems to have filled the sails of the world economy. From consumer spending to investment to stock market indices, the sailing seems smooth. But some dangerous currents, including debt-fueled liquidity and low productivity, are converging below the surface.

In 2019, long-time President of Bolivia Evo Morales had to resign in the aftermath of violent protests. The right-wing interim government that succeeded him must now stabilize the country. Meanwhile, the former president is striving to rally his supporters.

For Panama, the partnership with China is an attempt to revive its economy. For Beijing, it is a chance to gain influence over the crucial Panama Canal. The question is how Panama’s new government will balance its appetite for Chinese investment with its need to maintain close ties with the United States.

Despite public concerns, data clearly shows that nuclear power is a much safer energy source than fossil fuels. Recent innovations could soon reduce the risks even further.

The expansion of BRICS to 11 nations will strengthen the shift to a multipolar order and challenge Western dominance.

The concept of hemispheric defense may gain new traction in the U.S. if Donald Trump is elected, but finding willing partners is uncertain.

Overfishing is a global environmental and economic problem that resists administrative solutions. Giving control to local stakeholders would help.

Brexit talks were supposed to be concluded at the EU summit on October 17. But the deadline passed with no breakthrough. With the clock to a “hard Brexit” ticking down, this could be the salutary shock needed to reach a compromise — or point to a future in which encourages a drift toward protectionism.

The AMLO presidency has been a setback for Mexico, but a new generation of leaders could come to power and tap into the country’s geopolitical and economic potential.

Chile’s President Sebastian Pinera is facing resistance to his reforms from a hostile congress. His clumsy handling of several domestic crises has not helped his government gain traction. The economy is doing well, though, fueled by copper exports.

As Taipei’s diplomatic reach in Latin America wanes, China and the U.S. vie for strategic influence.

The EU has agreed on trade investment deals with the U.K. and China, while African countries launched an enormous free-trade zone. While each of these developments comes with some risks, they also offer opportunities for Europe to increase its global competitiveness.

China’s military buildup and drive for economic self-sufficiency are signs that Beijing sees a near-term conflict, likely over Taiwan, as advantageous.

Europe’s policy of appeasement toward Hezbollah included looking the other way and even hiding evidence from the public on its acts of terror. Most governments in Europe stick to the view that Hezbollah is a legitimate political force in Lebanon and ignore pleas from Israel and the U.S. for solidarity in trying to tame Tehran’s aggression.

The countries of the Global South are increasingly asserting their own values and points of view – whether through the BRICS organization or otherwise

The world is undeniably in crisis, politically and economically. An overhaul in leadership and farsightedness will be needed to achieve significant improvement.

While the prices of grains and fertilizers are likely to remain high in the years ahead, not every region will be equally affected.

Popularity for free trade is decreasing. The WTO has failed to rein in China’s unfair economic practices since 2001, so there is no enforcement of international trade rules. This could be fatal for post-Covid recovery.

For the global economy, the road ahead is unusually clear – it is headed for a gentle slowdown. But that is no reason for complacency. The next wave of trouble is already visible in the developing countries, which are highly vulnerable to rising interest rates. The EU could do much to prevent the economic slowdown if it cared to.

Instead of pushing for more free trade, some members of Mercosur are using it to protect their own industries. The rift may spell the end of the customs union.

As oil grows out of fashion, Saudi Arabia is banking on natural gas. Not only can it help the country generate electricity, it can also provide a crucial basis for a robust petrochemical industry. Riyadh wants to become a gas exporter by 2030 as well, but that goal may be a bit too ambitious.