Trade between Central America and Mercosur has great potential for growth and diversification. The right policies and cooperation among countries can lead to a more prosperous and sustainable future for both regions.

Inflation in the United States continues to defy expectations, remaining higher than experts and the Federal Reserve had anticipated, according to the latest reports from the Department of Commerce. This trend complicates monetary policy decisions and casts doubt on the anticipated interest rate cuts.

Guatemala, one of Central America’s most stable economies, ushered in a new government in early 2024. César Addario Soljancic, Vice President of EXOR Estructuradores Financieros, analyzes the challenges and opportunities that will shape Guatemala’s economic trajectory in this new phase. Official figures from the Bank of Guatemala (Banguat) indicate that economic growth this year will be around 3.5%, and that inflation will be 4%.

An oversupply, weak prices, and moderate growth in demand are factors that will contribute to a downward trend in oil prices in 2024. This was noted by César Addario Soljancic, who explains that this scenario—driven primarily by production trends in the United States and other global factors—could have a positive impact on Central American countries.

Record-high inflation in the United States and the interest rate hikes already announced by the U.S. Federal Reserve (Fed) will be two key factors shaping investor decisions this year, said César Addario Soljancic, EXOR Latam’s regional vice president for Central America and the Caribbean.