Rough waters ahead for Chile’s new government
Chile faces economic uncertainty as global trade alliances are thrown into disarray. The new government in Santiago, led by free-market conservative Sebastian Pinera, has a weak position in the legislature. On top of the daunting challenge of diversifying Chile’s copper-based economy, President Pinera must deal with social unrest at home. This situation calls for first-rate leadership that ventures beyond routine governance.
Opinion: How not to resolve the Venezuelan crisis
Venezuela’s constitutional coup has cleared the way from President Nicolas Maduro to suppress the opposition. But with the economy in tatters, the death toll in street protests rising, and the officer corps on the verge of splintering, the government may be more open to international mediation than first appears. The only way this works, however, is if the United States stays out.
Outlook improves for Latin American economies
The economic news coming out of Latin America is finally somewhat positive. Stagnation seems to be turning into growth. However, most of this is due to a recovery in commodity prices. Underlying structural problems, especially inequality, persist. Sustainable economic growth in the coming years will require smart domestic policy choices and lowering barriers to intra-regional trade.
GIS Dossier: Global trade and protectionism
According to the economic law of comparative advantage, the whole world has benefited from the enormous expansion of international trade since 1980. But over the past decade, few countries have acted like they believe it. GIS experts look at the roots and likely future course of protectionism’s global resurgence.
Global Outlook 2017: Latin America’s Trump problem
Geography will have a big impact on Latin America in the coming year: the closer a country is to the United States, the worse off it will be. What President Donald Trump does will shape developments in the region, as will the prices of key commodities. If Mr. Trump decides on collaboration instead of unilateral demands, however, the region could see positive developments.
Argentina’s new government makes an ambitious start
President Mauricio Macri of Argentina, who was elected last October, has quickly set out to show how much his administration differs from that of his predecessor, Cristina Fernandez de Kirchner. Much of the attention has focused on its determination to end the country’s complex set of price controls, subsidies and exchange rate restrictions. But his most significan...
Global trends: Latin America seeks growth as leaders straggle
Latin America has reached an inflection point. Recent developments suggest that parts of the region will make significant economic strides over the next few years. However, its two biggest economies – Brazil and Mexico – are stuck in the doldrums, and their politics may be in even worse shape. <i>This report is par...
Argentina’s new president will find it hard to make a fresh start
Let’s Change – Cambiemos – led by former Buenos Aires Mayor Mauricio Macri, won Argentina’s presidential run-off by less than 3 per cent of the popular vote. Headlines in Europe, the United States and Latin America heralded the opposition coalition’s victory as marking a reversal of the ‘pink tide’ – the swing to the left that has dominated South American politics ...
Special report on trade talks between Mercosur and the European Union
The July summit of South America’s six-nation Mercosur group brought no progress in negotiations on a trade agreement with the European Union. While stagnant economies on both sides of the Atlantic could benefit from a pact, Brazil and Argentina, which have pursued highly protectionist regimes, must first reconcile their differences. A new government in Argentina m...
Latin America exerts more power through New Regionalism
Latin American countries are beginning to develop a stronger sense of regional identity and with it a collective power. Several new regional organisations are emerging to portray this collective identity and to develop interests in trade and in common standards of governance, human rights and democracy. LATIN American cou...