General: Despite a blistering GDP growth in Q4, Argentina's economic outlook has become murky because of the unofficial inflation rate that is being ignored by the government. The truth is that nobody really knows the exact inflation number. Analysts fear that it is only a matter of time until people will have second thoughts about leaving money in banks, a scenario that the country desperately wants to avoid.
GDP: + 8.7% for 2007, the fifth straight year of growth in excess of 8%; + 9.1% in Q4 2007
Consumer Prices: + 8.4% in February. The controversy over the inflation figures continues unabated. The official number for 2007 shows an increase of 8.5% and, despite its protestations to the contrary, the government is accused of manipulating the inflation figures. Independent analysts put the real inflation number for 2007 at 18.0%.
Industrial Production: + 12.9% in January
Unemployment: 7.5% in Q4
Trade Balance: + $11.9 billion at end of January for the latest 12 months
Steel Production: 442,000 mt in February, or 6.3% over last year; in the first two months of the year, 859,000 metric tons were produced, or 14.3% more than last year.
Currency: Peso 3.15 to US$1 as of March 18 (3.10 a year ago)
General: Low unemployment and record bank lendings have ignited a retail sales boom. Despite a slight increase in the inflation rate, the Central Bank has left the benchmark lending rate unchanged at 11.25%. Brazil enjoys a rare scenario of solid growth, low interest rates and no inflation (well, almost no inflation). In 2007, bank lending rose an impressive 27.3% to Real 932.3 billion (US$552.9 billion). Gross fixed-capital formation, a gauge for corporate investments in factories and machinery, grew 16% in Q4, the fastest pace in almost 13 years. 1.62 million new jobs were created last year. and expectations for this year are 1.8 million new jobs.
GDP: + 6.2% in Q4, the fastest year-on-year quarterly expansion since 2004
Consumer Prices: + 4.6% in February, slightly over the Central Bank's target rate of 4.5%
Industrial Production: + 8.5% in January
Unemployment: 8.0% in January
Trade Balance: + $36.5 billion at end of February for the previous twelve months
Steel Production: 2.7 million mt in February, an increase of 8.1% over last year. In the first two months of 2008, 5.7 million mt were produced, or 9.0% more than last year.
Currency: Real 1.71 to US$1 as of March 18 (2.08 a year ago). The currency is of concern to the government and the finance ministry has announced a 1.5% tax on foreigners' purchases of Brazilian treasury bonds to cool capital inflows and slow the currency's appreciation, especially with regard to the US dollar.
General: The inflation rate is quickening, but the Central Bank has held the benchmark lending rate at 6.25%. Some experts have pointed out that the government has obviously ditched inflation concerns in favor of stronger economic growth.
GDP: +3.4% in January. Gas shortages and an ongoing drought have had a negative impact on Chile's growth.
Consumer Prices: +8.1% in February, the highest yearly rate in eleven years
Industrial Production: +4.4% in December
Unemployment: 7.2% in January
Trade Balance: + $23.0 billion at end of January for the latest twelve months
Copper Price: US$7,764 per metric ton as of March 20 for delivery in three months
Currency: Peso 432 to US$1 as of March 18 (536 a year ago) - an incredible appreciation of 19.4%
GDP: + 8.5% in Q4
Consumer Prices: + 25.2% in February. Price controls clearly are not working. The inflation rate in Caracas was 3.4% for January alone, the highest rate in twelve years.
Industrial Production: - 2.5% in December
Unemployment: 6.7% in Q4
Trade Balance: + $23.7 billion at end of Q4 for the latest twelve months
Steel Production: 400,000 mt in February, or 2.7% less than last year. In the first two months of 2008, 840,000 mt were produced, almost identical to last year.
Currency: Bolivar 4.20 to US$1 as of March 18 (4.23 a year ago). This is the rate of the "parallel" market. Some reports have the Bolivar at over 5.00 to the US$. The official rate remains pegged at Bolivar 2.15.