Latin American Keys is an informative and analytical summary regarding the political and economic situation in the Latin American region. These key takeaways, prepared monthly by ATREVIA´s Analysis and Research team, serve to be a useful tool in understanding the evolution of the political-institutional state of Latin America.
The macroeconomic figures at the close of the year were generally positive across the region. Regarding inflation, one of the key challenges of recent years, several countries reported encouraging data.
This is particularly the case in Argentina, where annual inflation dropped by 44.5% compared to 2023, marking one of Javier Milei’s greatest achievements in his first year in office. In a similar vein, Claudia Sheinbaum completed her first 100 days as president of Mexico with the lowest inflation in the last four years.
In Uruguay, the indicator remained within the target range for the second year in a row, with the added highlight of the beginning of the power transition to the elected president, Yamandú Orsi, who will take office on March 1. The upcoming elections in Ecuador will decide whether there will also be a transition or if Daniel Noboa will continue, in a very challenging economic context.
Peru and Brazil share similar situations. In Peru, despite strong growth, employment, and inflation data, the public holds a very negative view of President Dina Boluarte. Meanwhile, in Brazil, the historically low unemployment rate and a significant increase in GDP have not prevented a decline in the popularity of Luiz Inácio Lula da Silva.
On the legislative front, key reforms are being debated in Chile: one related to the electoral system to reduce parliamentary fragmentation, and another concerning the pension system. In Colombia, 2025 is expected to be an intense year in this regard, as the lack of a solid coalition in Congress has hindered the approval of several reforms presented and discussed throughout 2024.
Regarding the trade agreement between the European Union and Mercosur, the next step will be to define its ratification model, with several options depending on subsequent negotiations.