Latin American economies continue to present relatively stable growth but continued uncertainty with regards to the duration of the commodity boom could pose threats to medium-term growth and economic development. Latin American countries face increasing competition from emerging economies across the globe particularly in manufacturing sectors. In this context of shifting wealth, it is increasingly important to foster competitiveness and connectivity.
Improving logistics performance is particularly important as it directly impacts growth, productivity, and trade within the region and beyond. The region’s productive structure with significant concentration in natural resource and agriculture augment the importance of logistics in fostering competitiveness. Nevertheless, logistics performance in the region faces serious gaps particularly in the areas of customs performance and the availability of infrastructure. Improving these aspects will entail more and better investment in infrastructure, as well as making the most of existing infrastructure by putting in place efficient trade facilitation measures and efficient and appropriate regulatory frameworks.
Table of contents:
Acronyms and abbreviations 13 Executive summary 15 General overview 17 Chapter 1. Macroeconomic outlook 25 -Introduction 26 -Slower Latin American growth amid a global slowdown 27 -Financial systems and changes in global capital markets 40 -Fiscal policy and fiscal space 50 -Conclusions and recommendations 57 -References 60 Chapter 2. Latin America and shifting wealth 63 -Introduction 64 -Shifting wealth: Main features 65 -Latin America’s contribution to shifting wealth 68 -Towards the second phase of shifting wealth 74 -Towards international integration for development: Options for Latin America 78 -Conclusions 85 -Annex 2.A1. Sector development in Latin America’s diversification process (1990-2009) 87 -Annex 2.A2. Definition of the variables 90 -References 94 Chapter 3. Productivity, structural change and diversification of production in Latin America 99 -Introduction 100 -Productivity and structural change: Conceptual aspects 100 -Production structure, industrial dynamics and specialisation: A comparative analysis 104 -ICTs as an asset complementing growth and structural change 111 -Productivity and jobs 115 -Conclusions and policy recommendations 118 -Annex 3.A1. Indicators for measuring the production structure’s technology intensity and its complexity 121 -References 123 Chapter 4. Policies for boosting logistics performance in Latin America 125 -Introduction 126 -Logistics, a key factor for development and competitiveness 126 -Logistics performance in the countries of the region: Differences and challenges 129 -Logistics and logistics intensity in economic sectors 135 -The potential benefits of better logistics performance for the region 139 -Measures to improve logistics in Latin America 144 -Conclusion 153 -References 155