Wikinvest Wire

Economic stimulus in Latin America emerging markets.

Thursday, April 30, 2009

Here is the summary of emerging markets in region of Latin America with major actions to support local economies.

Brazil:
- Lower the minimum bank reserve requirements,
- To help refinance foreign debts
- New export services and additional resources for BNDES (Brazilian Development Bank),
- Repurchase contracts
- Currency swap contracts
- Tax cuts,
- Loans to producers of food.

Colombia:
- Spending on infrastructure, together with the private sector.

Chile:
- Loose credit conditions,
- Subsidies, tax reductions and payments to poor families,
- Spending on infrastructure,
- Recapitalization copper producer Codelco.

Mexico:
- Guarantees for the securities,
- The liquidity necessary for the refinancing of mortgage banks,
- Support for small and medium business
- Expand the supply of credit to development banks,
- Multilateral loans.

Argentina:
- Loans to farmers, manufacturers and other cars.

Peru:
- Spending on infrastructure and social affairs,
- Reduction in prices of petrol,
- Tax rebates for exports of non-tradable

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