Latin America Economic Outlook
Latin America’s GDP growth will undershoot the global average in 2026, as has tended to be the case in recent years. Only Paraguay and Venezuela are seen growing above 3%, with most other economies set to expand by 1.0–3.0%. Bolivia will be a laggard, contracting amid social unrest, fiscal austerity and falling gas output.
Latin America Inflation
So far this year, inflation has been in high triple digits in Venezuela due to currency weakness, double digits in Argentina and Bolivia and between 1.0% and 6.0% in other countries. However, inflation has risen in most countries since February due to higher global energy prices. The three-speed inflation pattern will likely persist later this year.
This chart displays Economic Growth (Real GDP, ann. var. %) for Latin America from 2010 to 2025.
| 2021 | 2022 | 2023 | 2024 | 2025 | |
|---|---|---|---|---|---|
| GDP per Capita (USD) | 8,308 | 9,374 | 10,474 | 10,621 | 11,046 |
| Public Debt (% of GDP) | 62.6 | 60.9 | 67.8 | 63.3 | 64.0 |
| External Debt (% of GDP) | 42.6 | 37.7 | 34.9 | 34.4 | 36.2 |
| Merchandise Exports (USD bn) | 1,273 | 1,473 | 1,454 | 1,506 | 1,606 |
| Merchandise Imports (USD bn) | 1,224 | 1,485 | 1,411 | 1,450 | 1,538 |
| Merchandise Trade Balance (USD bn) | 49 | -11 | 42 | 56 | 69 |
| Industrial Production (ann. var. %) | 7.8 | 2.2 | 0.2 | 0.0 | 1.1 |
| Fixed Investment (ann. var. %) | 16.6 | 5.3 | 2.4 | 2.1 | 2.3 |
| Fiscal Balance (% of GDP) | -4.1 | -3.5 | -5.3 | -5.3 | -4.9 |
| Unemployment (% of active population, aop) | 9.5 | 7.1 | 6.2 | 5.8 | 5.5 |
| Private Consumption (ann. var. %) | 8.4 | 5.2 | 2.6 | 2.8 | 2.6 |
| Economic Growth (Real GDP, ann. var. %) | 7.3 | 4.0 | 2.2 | 2.1 | 2.2 |
| International Reserves (USD bn) | 913 | 854 | 888 | 902 | 1,011 |
| Current Account Balance (% of GDP) | -1.8 | -2.3 | -1.2 | -1.2 | -1.1 |
| Inflation (CPI, ann. var. %, aop) | 10.2 | 15.6 | 18.4 | 24.8 | 7.9 |
| Policy Interest Rate (%, eop) | 6.29 | 11.51 | 10.70 | 9.86 | 9.78 |