MercoPress. South Atlantic News Agency

Latinamerica set to grow 4% in 2004

Latinamerica will expand a solid 4% during 2004, well ahead of the 1,5% of 2003, Interamerican Development Bank, IDB, Director General Enrique Iglesias said today in Spain during a forum of the region's economic prospects.

Mr. Iglesias said he was confident the region would take advantage of the current "economic bonanza", underlining the investment opportunities of the region, particularly infrastructure.

"Commodity prices, low interest rates, responsible fiscal and monetary policies plus advances in integration processes are all positive signs for investors", said Mr. Iglesias during the "Infrastructure investment climate in Latinamerica" seminar organized by the IDB and the Spanish Overseas Trade Institute in Madrid.

But in spite of the encouraging words from Mr. Iglesias, Spain's Trade Secretary Francisco Utrera even recognizing advances, was rather cautious.

"Reforms and transparency are essential", underlined Mr. Utrera adding that "a balanced infrastructure macroeconomic framework, efficient governments and administrations, further expansion of the private sector and policies targeted to poverty reduction, are still pending in the Latinamerican agenda".

But Mr. Utrera also pointed out that Spain is the main investor in the region behind the United States, "one of our main overseas trade projects".

Basically "a long term project that needs the cooperation of both government and private agents", stressed the Spanish Trade Secretary.