Economic growth in 2004 is estimated to reach close to 5% following an increase in commodity exports and the recovery of some of the dominant economies in the region. But, over the past 20 years, economic growth in Latin America has been cyclical. Unsustainable growth rates have earned the region a reputation of being an unstable long-term investment destination. Along with increasing levels of poverty, the worst ratio of inequality in the world and a shifting political sentiment to the left, investors and international lending agencies are treating Latin America with a degree of caution.
Despite this, enormous business potential exists in Latin America. With enough insight and the correct approach to the Latin American market, South African investors are capable of capitalising on the numerous opportunities arising.
There are a number of parallels between Latin America and Southern Africa. South African business leaders and government should take advantage of these similarities and common links, and engage the region as it enters what appears to be a new paradigm of economic changes and a shifting political environment. A decent understanding of the changes in Latin America can only help improve Trans-Atlantic relations. This book seeks to bring those parallels together in one volume in a concise and informative manner by experts on doing business in the region.