Monday, December 9, 2019
The Central Bank’s report reveals the extent to which rioting and violence since mid-October have disrupted the economy. It forecasts that due principally to the impact of uncertainty on investment, the effects will persist next year and into 2021.
- A proposal to draft a new constitution, for which there is public demand, will perpetuate investor uncertainty.
- In a positive effect, depreciation of the peso will boost the competitiveness of exports.
- Increased government spending and social demands will pose questions about medium-term fiscal sustainability.