Spotlight on Latin America New York
How can Latin America attract inbound investment?
The trend to establish robust supply chains, transferring business operations to less costly, yet like-minded partners, continues. Latin America can benefit greatly from this development since fostering greater diversification of supply chains and export markets will ensure growth, prosperity and economic resilience. The Inter-American Development Bank (IDB) estimates that an increase of 10% of a country’s participation in global value chains (GVC) could raise GDP per capita by 11-14%. Future success is dependent on promoting open, predictable and transparent trade relations.
FDI can connect national economies to global value chains, leading to job creation, technology transfer and growth. Digital transformation catapults export opportunities to access a global client base and empowers government entities to enact trade-friendly policies. FDI flows require countries to refine their investment value proposition within a clear regulatory framework to remove barriers affecting all phases of the investment lifecycle. Both the US and the EU are exploring trade agreements with the region to foster trade and strategic partnerships and expand investment, which has the scope to create major growth avenues.
The Financial Times in collaboration with Millicom Tigo hosted the Spotlight on Latin America Dinner Briefing where political and global leaders discuss how the region can attract inbound investment and how greater collaboration between government and business can build cross-border industrial and commercial clusters. The discussion was focused on how investment-friendly and structural reforms, anchored on governance, infrastructure, technology and education commitments, can leverage extraordinary comparative advantages and capture regionalization and nearshoring opportunities.
To view the event page, visit The Financial Times website.