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Latin American firms are headed for ruin in ever increasing numbers if the current M&A wave is anything to go by. The region is the fastest growing participant in the […]

Predict Oil Company Risk  Order this detailed and extensive analysis of Latin American oil companies today. Find out whether a sector that has been plagued by scandals, is finally cleaning up its […]

Who is ahead of the curve or the best in his or her field? Who has most power and influence in Latin America and the Caribbean? Who, for better or for worse, is your Person of the Year?

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In recent weeks, Latin American assets have taken their nastiest, sharpest tumble in 15 years. After 12 straight quarters of sure footing, during which time confidence and sophistication were on […]

a poll of “latinfinance” readers will no doubt yield a strongly agree result. while i am afraid your audience is likely to be a bit biased, they are also likely to be better informed by history than the populist rantings of a tragic country. the decision about to be made in peru will be the most important in determining whether the andean region faces another “lost decade” or sets the precedent as how the “right” left can achieve some measure of social equity in the context of its incredible potential. with the right leadership, this resource rich nation can out chile the chieleanos. lets hope.

I fully agree and add
A mid term negotiation was the solution. Lack of anticipation of the Brazilian government as well as From Morales internally. A platform showing community the wrong direction should have been launched out. Honestly I don´t think Evo wanted this as well. Social pressure was to strong, and once again lack of social development as a sustainable long term win win scenario for economies is not considered.
A similar mistake on opposite side so to say has taken place.

In Ecuador’s case, expropiating the assets from Oxy is a lose-lose situation. Not only does this administration limit future investment from serious oil field players, it is almost surely going to run the Oxy facilities into the ground in a short period of time. It is historically accurate to say that Petroecuador has never made the investment in assets to keep production facilitites in good shape but instead has been a source of income for corrupt politicians and bureaucrats. Ecuador DEPENDS on foreign investment, politicians seem to forget, and by forcing this technicality in the law, they will bring on a new era of heightened corruption and inefficiency in the oil industry.

Privatization and exploitation of Latin America’s natural resources by foreigners certainly hasn’t been the mana that was promised. Latin Americans are much poorer for these short-sighted policies. Nationalization of the region’s natural resources at least holds the promise of keeping profits in country rather than diverting them to multinational corps. Whether these profits are used in a socially responsible manner by the region’s governments is the real question.