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Department of Foreign Affairs and Trade
Regions’ GDPs Similar, LA Per Capita Income Higher
Australian Trade and FDI with East Asia Dominates Latin America, 2000
Can Latin American Trade Ever Challenge East Asian ? Distance Trade Agreements Commodity Exporters
Exports to Latin America Growing Faster than to East Asia,
Brazil Inflation beaten Deficit low FDI open, strong inflows Trade opening Privatisation succeeding Flexible exchange rate Growth increasing Contagion, power threats
NAFTA driving growth and reform Fundamentals good FDI open Growth high Infrastructure, banks weak US downturn a threat Mexico
Chile FDI and trade very open Sound macro policy Flexible labour markets High transparency Strong banking system Privatisation success Highest growth in LA
Argentina Inflation beaten FDI open Trade opening Rigid exchange rate Fiscal deficit problem 3 year recession Good long term prospects
Business Environment ? improving, Chile leads labour markets still rigid banking systems weak transparency still poor
Business Opportunities ? Commodities Niche manufactures Services, tourism, education Investment, mining, agribusiness
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