Barring a major global recession, Moody’s Analytics forecasts a strong year ahead in its Latin America Outlook. “The region’s economy will advance steadily in 2012 despite global weakness mainly because of domestic demand helped by flexible monetary and fiscal policies,” the authors write.
ECLAC says that even if the world economy sputters, Latin America might do better than other regions, as it did during the last crisis. High levels of reserves, and, with some exceptions, low levels of public debt will help.
Still, the group warns, Latin America’s position today is not as rosy as it was preceding the 2008-09 crisis.
