IMF forecasts stronger rebound for Latin American economies

The International Monetary Fund has boosted its forecast for gross domestic product in Latin America and the Caribbean, fueled by stronger outlooks for its two largest economies

Via AP news wire
Tuesday 27 July 2021 19:20
APTOPIX Brazil Protest
APTOPIX Brazil Protest

The International Monetary Fund on Tuesday boosted its forecast for gross domestic product in Latin America and the Caribbean fueled by stronger outlooks for its two largest economies.

The IMF expects the region will grow 5.8% this year, up 1.2 percentage points from a forecast released in April. The region contracted 7% last year, marking the worst performance of any region in the world.

“The forecast upgrade ... results mostly from upward revisions in Brazil and Mexico reflecting better-than-expected first quarter outturns, favorable spillovers to Mexico from the improved outlook for the United States and booming terms of trade in Brazil,” the IMF wrote in its report.

The multilateral raised its forecasts for Brazil by 1.6% to 5.3%, and for Mexico by 1.3% to 6.3%. It didn't publish figures for other nations in the region.

The updated perspective for Brazil is in line with the median outlook from economists surveyed by the nation's central bank, who have increased their projections for 14 straight weeks.

The IMF's 2021 outlook for the global economy was unchanged from April. A brighter outlook for Latin America was offset by lower forecasts for emerging and developing Asian economies.

Register for free to continue reading

Registration is a free and easy way to support our truly independent journalism

By registering, you will also enjoy limited access to Premium articles, exclusive newsletters, commenting, and virtual events with our leading journalists

Please enter a valid email
Please enter a valid email
Must be at least 6 characters, include an upper and lower case character and a number
Must be at least 6 characters, include an upper and lower case character and a number
Must be at least 6 characters, include an upper and lower case character and a number
Please enter your first name
Special characters aren’t allowed
Please enter a name between 1 and 40 characters
Please enter your last name
Special characters aren’t allowed
Please enter a name between 1 and 40 characters
You must be over 18 years old to register
You must be over 18 years old to register
Opt-out-policy
You can opt-out at any time by signing in to your account to manage your preferences. Each email has a link to unsubscribe.

Already have an account? sign in

By clicking ‘Register’ you confirm that your data has been entered correctly and you have read and agree to our Terms of use, Cookie policy and Privacy notice.

This site is protected by reCAPTCHA and the Google Privacy policy and Terms of service apply.

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged in