Business

Peru best positioned country in region to withstand crisis

By Manuel Vigo

Peru is the best positioned country in Latin America to withstand a global financial crisis, according to a recent study carried out by the International Monetary Fund, and quoted by Peru21.

Peru best positioned country in region to withstand crisis

(Photo: Andina/Reference)

Peru is the best positioned country in Latin America to withstand a global financial crisis, according to a recent study carried out by the International Monetary Fund, and quoted by Peru21.


Peru’s economy, the study found, has emerged as the strongest in the region, due to its rapid growth, budget surplus, and low foreign debt.


"Peru appears to exhibit the strongest position in a group of countries including Bolivia, Chile, Colombia, Paraguay that, to varying degrees, appear to be in a position to weather a marked worsening of external conditions—even undertaking countercyclical policies—without jeopardizing fiscal solvency," said the IMF.


Brazil and Mexico, the IMF said, are also positioned as one of the largest economies in the region, and are strong enough to face moderate affect economic crises.


Meanwhile, country’s such as Venezuela and Argentina are more vulnerable to potential international financial crises, the study found,


According to the IMF report, Latin America as a region is stronger than in the past, but individual countries vary as to their ability to face international financial problems.


Earlier this month Lima-based investment bank Latin Pacific Capital said Peru’s business sector remained optimist about the country’s economic growth for 2013.