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Home arrow News arrow South America arrow Latin America not dependent on US economy

Latin America not dependent on US economy

Tuesday, 29 January 2008
Latin America continues growth
Latin America continues growth

A US economic slowdown will not hurt Latin America as much as it would have just a decade ago, though some of the benefit of the region is waning.

Stronger industries as well as financial help from other markets mainly benefit this. The Latin American countries have seen great growth over the last ten years. In fact, many of the very new economies and markets here just ten years ago are not stable and considered good investment areas. During that time, Latin America has managed to move away from being dependent on the US and US economies.

While Latin America has regularly seen growth, there are some areas which it may begin a decline. Stock markets, for example, have struggled with loss this year thus far.

The question is, with a shaky economy will Latin America weather the US recession worries?

Some areas may be hurt, such as those linked to consumer activity within the US. Other sectors will continue to grow. The largest growth areas are still going to be construction as well as the booming service industry here.

Latin America saw an overall growth of 5 per cent in 2007. This is mostly due to the production of more or new commodities including oil and soybeans. Prices on these particular goods have increased drastically.


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