The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site.

All material subject to strictly enforced copyright laws. © 2020 Euromoney, a part of the Euromoney Institutional Investor PLC.
Capital Markets

Debt: Latin America breaks new boundaries

The region’s debt markets have withstood the convulsions in western Europe with surprising ease. Has the global perception of risk irrevocably changed or will the region eventually get caught up in the maelstrom? Sudip Roy reports.

THE NATURAL ORDER of the bond markets is in a spin. The headlines are full of IMF bailouts, debt restructurings and fiscal austerity. But for once the crisis is not in the emerging markets. Instead it’s Europe’s policymakers that are struggling to prevent sovereign debt defaults from tearing their region apart. In contrast, their counterparts in the developing world look on as concerned spectators. Nowhere more so than in Latin America, which has experienced several debt crises over the past 30 years but today is a byword for financial stability compared with Europe and the US.

There are pockets of distress – Argentina, Venezuela, Bolivia and Ecuador are all on the margins of financial rectitude. But it’s a sign of how far Latin America has progressed over the past decade that the wider region is able to shake off negative news out of these trouble spots with barely a jitter.

Take out a complimentary trial

Take out a 7 day trial to gain unlimited access to and analysis and receive expertly-curated updates direct to your inbox.


Already a user?

Login now


We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree