We expect growth in Latin America to slow next year – in contrast to the consensus and IMF view for growth to stabilise or even pick up in 2026. While the impact of US import tariffs will generally be limited, we think analysts are underestimating the drag from lower commodity prices and fiscal tightening. The flipside is that inflation and interest rates will be lower than is widely anticipated. We hold a particularly dovish view on the outlook for interest rates in Brazil.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services