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Department of Foreign Affairs and Trade Regions’ GDPs Similar, LA Per Capita Income Higher.

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Presentation on theme: "Department of Foreign Affairs and Trade Regions’ GDPs Similar, LA Per Capita Income Higher."— Presentation transcript:

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2 Department of Foreign Affairs and Trade

3 Regions’ GDPs Similar, LA Per Capita Income Higher

4 Australian Trade and FDI with East Asia Dominates Latin America, 2000

5 Can Latin American Trade Ever Challenge East Asian ? Distance Trade Agreements Commodity Exporters

6 Exports to Latin America Growing Faster than to East Asia,

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8 Brazil Inflation beaten Deficit low FDI open, strong inflows Trade opening Privatisation succeeding Flexible exchange rate Growth increasing Contagion, power threats

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10 NAFTA driving growth and reform Fundamentals good FDI open Growth high Infrastructure, banks weak US downturn a threat Mexico

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12 Chile FDI and trade very open Sound macro policy Flexible labour markets High transparency Strong banking system Privatisation success Highest growth in LA

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14 Argentina Inflation beaten FDI open Trade opening Rigid exchange rate Fiscal deficit problem 3 year recession Good long term prospects

15 Business Environment ? improving, Chile leads labour markets still rigid banking systems weak transparency still poor

16 Business Opportunities ? Commodities Niche manufactures Services, tourism, education Investment, mining, agribusiness

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