World Bank Lends Record Amount to LatAm

The World Bank Group has committed $17.9bn to LatAm and the Caribbean in fiscal year 2010, an amount it describes as a record high. In FY 2009 it committed $17.1bn. The bank expects the region to post 4.5% growth in 2010, with Brazil leading the recovery with a projected 6.5% expansion on account of strong commodity demand. Other South American economies such as Peru, Argentina and Uruguay are also expected to reach or exceed 4% expansion. Mexico’s growth is projected to rebound to 4.3%, marking the fastest pace in almost a decade, while Central American economies will lag the recovery on weak worker remittances from the US. The Bank projects 2.7% growth for in 2010. Excluding Haiti, expansion in the Caribbean will accelerate modestly to 3.2% in 2010, from 2.0% in 2009, it adds.