Latin America Economic Outlook
Growth in 2026 will be the weakest in six years and far below the global average. Argentina and Paraguay are the sole economies expected to expand above 3%, while most countries are forecast to post growth between 1.0% and 3.0%. Bolivia is seen contracting slightly amid elevated inflationary pressures.
Latin America Inflation
Most countries saw inflation average in the 1.0–5.5% range in 2025, with Argentina and Bolivia seeing double-digit price growth and Venezuela recording inflation well in triple figures. Inflation will ease in most of the region in 2026 vs 2025, but Bolivia and Venezuela will see notable accelerations. Venezuela should register the world’s highest inflation rate.
This chart displays Economic Growth (Real GDP, ann. var. %) for Latin America from 2010 to 2025.
| 2020 | 2021 | 2022 | 2023 | 2024 | |
|---|---|---|---|---|---|
| External Debt (% of GDP) | 48.0 | 42.6 | 37.7 | 34.8 | 34.5 |
| Industrial Production (ann. var. %) | -6.7 | 7.8 | 2.2 | 0.2 | 0.1 |
| Public Debt (% of GDP) | 68.8 | 62.8 | 61.0 | 67.8 | 63.3 |
| Private Consumption (annual variation in %) | -7.4 | 8.4 | 5.2 | 2.6 | 2.8 |
| Investment (annual variation in %) | -11.5 | 16.6 | 5.3 | 2.3 | 2.2 |
| Policy Interest Rate (%, eop) | 2.49 | 6.29 | 11.51 | 10.70 | 9.86 |
| Merchandise Exports (USD bn) | 1,012 | 1,273 | 1,473 | 1,453 | 1,506 |
| International Reserves (USD bn) | 876 | 913 | 854 | 888 | 902 |
| GDP per Capita (USD) | 7,211 | 8,300 | 9,364 | 10,454 | 10,603 |
| Merchandise Imports (USD bn) | 908 | 1,224 | 1,484 | 1,411 | 1,448 |
| Merchandise Trade Balance (USD bn) | 103 | 49 | -11 | 43 | 58 |
| Fiscal Balance (% of GDP) | -8.7 | -4.1 | -3.5 | -5.3 | -5.4 |
| Economic Growth (Real GDP, ann. var. %) | -6.6 | 7.3 | 3.9 | 2.2 | 2.1 |
| Unemployment (% of active population, aop) | 10.2 | 9.5 | 7.1 | 6.2 | 5.9 |
| Inflation (CPI, ann. var. %, aop) | 6.4 | 10.2 | 15.6 | 18.4 | 24.8 |
| Current Account Balance (% of GDP) | -0.1 | -1.8 | -2.3 | -1.2 | -1.2 |