Latin America Economic Outlook
Latin American GDP growth is set to be the weakest among all world regions this year. This will be the result of political and policy uncertainty, high levels of inequality, crime and corruption, and a general lack of economic competitiveness versus other emerging markets. However, substantial monetary policy loosening and a robust U.S. economy will support activity.
Latin America Inflation
From March to April, inflation increased in Bolivia, Chile, Ecuador, Mexico and Paraguay, and decreased in Brazil, Colombia, Peru and Uruguay. Regional inflation should increase on average this year from 2023, mainly due to a more-than-doubling of inflation in Argentina; most other countries will see lower average inflation in 2024 versus 2023.
This chart displays Economic Growth (GDP, ann. var. %) for Latin America from 2010 to 2022.
| 2019 | 2020 | 2021 | 2022 | 2023 | |
|---|---|---|---|---|---|
| GDP per capita (USD) | 8,659 | 7,252 | 8,330 | 9,392 | 10,434 |
| Economic Growth (GDP, ann. var. %) | 0.8 | -6.6 | 7.2 | 3.9 | 2.2 |
| Private Consumption (ann. var. %) | 1.6 | -7.6 | 8.3 | 5.3 | 2.6 |
| Fixed Investment (ann. var. %) | -0.5 | -11.5 | 16.4 | 5.3 | 4.2 |
| Industrial Production (ann. var. %) | -1.5 | -6.9 | 7.7 | 1.9 | - |
| Unemployment (% of active population, aop) | 8.4 | 10.5 | 9.5 | 7.2 | - |
| Fiscal Balance (% of GDP) | -3.7 | -8.4 | -4.1 | -3.5 | - |
| Public Debt (% of GDP) | 59.1 | 68.9 | 62.9 | 61.1 | - |
| Inflation (CPI, ann. var. %, aop) | 7.6 | 6.4 | 10.0 | 15.5 | 18.1 |
| International Reserves (USD bn) | 832 | 871 | 908 | 850 | 883 |
| Current Account Balance (% of GDP) | -2.1 | -0.2 | -1.8 | -2.5 | -1.3 |
| Merchandise Exports (USD bn) | 1,037 | 948 | 1,213 | 1,411 | 1,392 |
| Merchandise Imports (USD bn) | 1,020 | 856 | 1,170 | 1,424 | 1,336 |
| Standing Lending Facility Rate (%, eop) | 9.61 | 5.84 | 9.55 | 18.91 | - |
| Exchange Rate (CLP per USD, eop) | 323 | 345 | 404 | 442 | 425 |
| External Debt (% of GDP) | 39.6 | 48.2 | 42.8 | 37.9 | - |