Delivering Growth, Strengthening Societies
Latin America has maintained high levels of economic growth and financial resilience, attracting increased foreign investment and tourism and progressing towards poverty alleviation, while building a larger and more demanding middle class. Due to its vast wealth of natural resources, cultural heritage and human capital, the region is fertile ground for novel business and social innovation models that will ensure its comprehensive long-term development.
Brazil is the seventh largest economy in the world and the largest in Latin America. The country’s trade is driven by its extensive natural resources and diverse agricultural and manufacturing production. Also, rising domestic demand, increasingly skilled workforce along with scientific and technological development, have attracted foreign direct investment.
Competitive Growth
Latin America has an opportunity to consolidate the modernization of its economies.
Latin America is the subregion of the Americas. It consists of twenty two nations, and has an area of approximately 7,412,000 sq mi, almost 13% of the earth's land surface area. As of 2013, its population was estimated at more than 604 million with a combined nominal GDP of $5.6 trillion (almost equal to those of the UK and France combined), and a GDP PPP of $7.5 trillion (larger than those of India, and Japan and the UK combined).
GDP Growth
Source: Economist Intelligence Unit
An Economic Success
Latin America is one of the world’s economic success stories. Most countries are growing at a pace well above the global average while paying down debt and attracting foreign investment, but it can do better. The iversity of its people and innovative spirit show that further progress in the region is possible.
New Engines of Growth
Economic growth in Latin America has proved to be resilient to the global economic uncertainty, and the inclusion of the region in the global economy will favour the emergence of new engines of growth.
Most countries in Latin America understand that relying on commodities is not sustainable and are looking for ways to involve their industries and develop new services to be inserted in the global value chain. The spectrum is large, and opportunities have to be seized.
Massive investments are expected in information technology and telecommunications. America Movíl, for example, a Mexican telecommunications operator, said it is investing US$ 50 billion over five years to respond to growing demand in broadband services. But traditional sectors also have a role to play thanks to innovation and technology. This includes manufacturing and even agriculture in countries such as Brazil, which has a strong export-oriented agribusiness sector.
Long-term Benefits Combined with Real Growth
JS&A helps clients achieve global competitive advantage. We have deep experience helping clients achieve and accelerate growth in their core business and beyond in markets around the world. We combine in-depth customer insights with market expertise to help our clients create sustainable and organic growth.