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Archive for October 26, 2011

Growth of FDI in Latin America

Written by Nicole Canivilo on . Posted in International, Marketing, Mexico, South America

Rio de Janeiro, Brazil

Rio de Janeiro, Brazil

Yesterday, October 25th, the Economic Commission for Latin America and the Caribbean (Cepal) published a study showing the growth of the foreign direct investment (FDI) in Latin America in 2011 (54%) being Brazil, Mexico, Chile, and Colombia the countries with most flow, $68 billion dollars.

According to Alicia Bárcena, executive secretary of Cepal, “The current flows of investment confirm the good performance of the Latin American economies”. However, although Argentina and Chile show important investments, they have been dropping in the past years. Unlike Brazil, where the flow of investment sums up to $44 billion dollars between January and August which corresponds to an increase of 157% in comparison to 2010.

Cepal has informed that in the future it won’t be possible to guarantee that the regions will maintain such a good performance, due to the instability in the developing countries. However, Alicia Bárcena pointed out that in Central America – one of the regions most affected by the global crisis – all countries show an increase in foreign investment, Costa Rica and Panama being the main destinations.

In any case the Commission estimates that in the end of 2011 the entries of foreign direct investment will show a very good result which could lead to a new historical record.