Join CLACS in welcoming UIUC Alumni Arturo Galindo for his talk "Economic Outlook of Latin America and the Caribbean". Dr. Galindo holds a PhD in Economics from UIUC, and is the Chief Economist for the Southern Cone Countries at the Inter-American Development Bank (IDB) in Washington D.C.
Latin America and the Caribbean: Macroeconomic Challenges and Opportunities
Latin America and the Caribbean overcame significant economic challenges in 2023 and exceeded growth expectations thanks to the solid macroeconomic fundamentals it laid in recent years. The region cut inflation through significant interest rate hikes and unwind steep spending increases it had undertaken due to COVID-19—a marked departure from previous crises where expansionary measures proved stubborn to reverse. To build on this success, countries now face additional challenges: lowering interest rates without triggering significant capital outflows, exchange rate depreciation, and an increase in inflation; reducing fiscal imbalances due to higher global interest rates in a politically charged context; and the daunting task of implementing far-reaching reforms to tackle low productivity and set the course for long-term growth. As countries chart their path forward, they can capitalize on their rich natural endowments—from renewable energy sources to minerals and food—to grow their economies toward net-zero emissions. The presentation analyzes the opportunities and challenges facing the Latin American and Caribbean region.
