After having experienced strong economic growth for almost ten years, Latin America will see modest expansion in 2016, although Peru’s economy will perform better than most in the region, international experts estimate.
Latin American economies were able to relax and enjoy the journey for almost a decade, but those days are gone, they noted.
Marcelo Carvalho, head of Latin America economic research at BNP Paribas, believes that among the seven major Latin American economies, Peru is the only one expected to post growth over 3% in 2016.
The region has been hit by a sharp decline in export prices of raw materials such as oil, copper and iron ore.
According to experts’ predictions, most economies in the Americas will see modest growth as a result of raised interest rates by central banks.
Forecasts anticipate the region is becoming more and more vulnerable to global downturn with growth projections estimated at 3.1% for this year and 3.4% for next year.
(END) PL/INT/JRA/RMB/MVB
Published: 10/16/2015