Latin American and Caribbean Growth Will Be 4.7% in 2011


News from Panama / Friday, July 15th, 2011

Executive Secretary of the United Nations body, Alicia Barcena

In a recent report by The Economic Commission for Latin America and the Caribbean (ECLAC)  presented by Alicia Barcenas stated that while the economic recovery here has strengthened and the area has an encouraging growth rate, it also highlights the macroeconomic policy challenges facing the region’s government in a context of high commodity prices, considerable international liquidity and the robustness of certain Latin American economies.  Panama of course, is leading the pack as the fastest growing this year  (8.5%).

In the current scenario, the region’s attractiveness to capital inflows and appreciation pressure on local currencies could be of benefit in the short term by helping to relieve poverty and bring down food prices. However, this situation involves a series of risks and difficulties.

Ms. Bárcena wonders  “How prepared is Latin America and the Caribbean for managing economic growth?   We must recover the fiscal space in order to be able to take measures to ensure sustained growth with productive employment and equality”.

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