“The economic challenges that Latin America faces are not trivial in a moment where the region has been decelerating continuously for the past four years,” International Monetary Fund (IMF) number two David Lipton said today at a high-level conference on Latin America held in Washington.
“Latin America has a bigger challenge in terms of productivity and education, all of this in a context of a decrease in raw materials’ prices,” Lipton pointed out.
Heading 2015, IMF predicted an increase of just 1.9 percent for the region with three major economies likely to be in recession: Brazil, Argentina and Venezuela.
Lipton added that Latin America potential growth has also been reduced, casting even more shadows over the future expansion of the region.
IMF Latin American director, Mexican Alejandro Werner, forecasted a slight 2 percent recovery for 2016.
Among the participants of the event, there is Brazil’s Finance Minister Joaquim Levy, who has launched an important tax adjustment plan to reorganise the instability of public accounts in that country.
Source: Buenos Aires Herald