Latin America News
LAST UPDATE: June 13, 2025
Peru Holds Key Rate as Policymakers Weigh Risks to Growth
Peru’s central bank held its key interest rate at 4.5%, amid strong growth and low inflation, while monitoring U.S. tariff policies that could impact its trade-dependent economy .
Insight
Maintaining rates reflects a cautious yet supportive stance. With global trade tensions potentially harming commodity exports, the decision balances domestic momentum against external uncertainty, aiming to sustain growth without igniting inflation.
Battle Over Sports Betting Threatens to Derail Lula Fiscal Plan
A strong lobbying campaign by sports-betting companies risks undermining President Lula’s fiscal strategy, which relies significantly on taxing the gambling sector (bloomberg.com).
Insight
The government aimed to raise revenue through betting taxes to fund social programs, but resistance from the gambling industry could derail these plans, putting pressure on Lula to find alternative fiscal measures.
No rice, no sugar, no eggs’: Bolivians despair as economy tanks
Severe shortages of staple foods and soaring inflation (18.4% in May) have triggered long queues, protests, and violent scenes as citizens struggle for basics .
Insight
Bolivia’s economic crisis—from plummeting gas exports to collapsing reserves—is fueling public unrest and threatening political stability ahead of upcoming elections.
