External Financing to Latin America: Are We in a New World?
Ocampo, José Antonio
This brief argues that, in contrast to the pessimism and ongoing recession in Latin America generated by the collapse of commodity prices, there are reasons for optimism in the area of external financing. In fact, we may be in the midst of the first crisis in Latin American history in which resource transfers through the capital account would continue to be positive, a remarkable historical fact. The closure of financial markets has been weak and temporary, FDI continues to make positive resource transfers, and China is providing additional resources.