Latin America will close 2015 with a slight expansion of 0.5% in its gross domestic product (GDP), the lowest in the last six years because of the sharp drop of Brazil, the main regional economy, according to projections revised by the Economic Commission for Latin America (Cepal).
The contraction of 1.5% Brazil will reach and an even greater decline of 5.5% in Venezuela will impact on the regional growth, which this year will reach its lowest value since 2009, when it closed with a fall of 1.3%.
In contrast, regional growth will be led by Panama, with a growth of 6%, Dominican Republic, with 4.8%, and Bolivia, that will grow a 4.5%. Mexico will grow by 2.4%.
Regional economies, especially in South America, are being impacted externally by “the slow growth of the world economy in 2015, particularly the slowdown in China and other emerging economies, with the exception of India,” which has led downward the value of raw materials, the engine of regional growth.