The World Bank assures that the Latin American economy will grow by 3 %

The international organization estimates significant growth for 2022 in Latin America due to the increase in raw materials

The World Bank estimates that the Gross Domestic Product (GDP) of Latin America and the Caribbean will grow 3 % in 2022, a rate higher than expected due to the increase in the prices of raw materials.

However, the agency estimates that growth in 2023 and 2024 will slow down to 1.6 % and 2.3 %, respectively, mainly as a result of the war and the general cycle of increases in interest rates.

This is reflected in the latest report prepared by the agency, which highlights that the economies of the region recovered to their pre-pandemic levels and have regained “a certain sense of normality”, although with the need to reactivate to avoid a new cycle of low growth. In this sense, the organization believes that social and infrastructure investments can be key drivers of growth and shared prosperity.

“Most economies have returned to pre-pandemic levels, but that is not enough. The countries of the region have the opportunity to rebuild better after the crisis and achieve fairer and more inclusive societies,” said the vice president of the World Bank for Latin America and the Caribbean, Carlos Felipe Jaramillo.

The high representative of the entity points out that in addition to undertaking the fundamental reforms and investments to boost growth, governments must also address the “lost years of education, lost vaccines and the delayed effects of food insecurity that obscures the recovery of GDP “.

K. Tovar

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Source: El Tiempo

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