Industries and markets

Bank of México downgrades 2020 growth forecast to 0.5-1.5%

“The Finance Ministry is sticking to its more optimistic growth outlook of 1.5-2.5%.”

Merrill Lynch and JP Morgan cut Brazil’s 2020 economic growth to below 2%

“Economy Minister Paulo Guedes and other officials have consistently said the government’s right-wing economic reforms and record low interest rates will deliver growth this year comfortably above 2%, with Guedes confident of 2.5%.”

Argentina and IMF Agree on new Debt Relief Program

“No demands for budget cuts from the IMF. Private creditors are asked for “significant” debt cuts.”

Could China end going to the rescue of crisis-prone Argentina?

“Argentina is thought to be on the brink of falling into its ninth sovereign default, prompting some analysts to speculate whether the crisis-prone South American country might be tempted to accept funding from China.”

Financial Times: “Argentina needs a plan for investment-led growth”

“IMF has tough questions to answer. It lent a record US$ 57bn to Argentina to support an economic program which failed after little more than a year. “

Armed Guerilla Group Calls General Strike in Colombia, Banning Travel

“Government places military forces on high alert. Cauca Indians claim strike has no justification.”

Banco do Brasil Could Be Privatized to Compete with Fintechs

“The President of Banco do Brasil, Rubem Novaes, says the institution must be privatized to adjust to the open banking model.”

Argentina: New Digital VAT Book Deadlines

Argentina has prolonged its implementation deadlines for for the Digital VAT Book (Libro de IVA Digital).   What is the Digital VAT Book? Argentina implemented a new system to electronically register sales, purchase, assignments, exports

Colombia orders Facebook to strengthen security measures to protect users personal data

“Facebook has until June 14 to implement useful and effective new security measures to prevent unauthorized or fraudulent use of personal data, the Superintendency of Industry and Commerce said in a statement.”

Minister Marcos Pontes Reportedly Negotiating Terms for Tesla Plant in Brazil

“Should Tesla decide to build its South American base in Brazil, there should be great competition among states and municipalities for the automaker’s preference.”