Signs of growth but Latin America still a ‘work in progress’
By Daniel Murray, global head of research, EFG Asset Management, 22 Mar 18
After a multi-year slowdown, 2017 was the year in which Latin America’s growth resumed. But each country is still, very much, its own economic and investment story.
In Argentina, the reforms undertaken by president Macri, who came to power two years ago, have had an ambiguous effect on growth, which initially dipped before recovering in the second half of 2016 and into 2017.
However, inflation remains relatively high at around 25%. It will take time for the effects of the reforms to boost long-term growth prospects.
While it was thought that the timescale needed for such policies to work may have been too long for many voters, Macri’s coalition performed well in the country’s mid-term vote in October last year.
