Dear Reader,

Greetings.

Latin America has been bustling with economic activity in recent years with most governments of the region concentrating on development. The average annual GDP growth of the region as a whole is around 4-5 percent. However, the economic growth has not been uniform. While Venezuela has benefited from high oil prices, Chile and Argentina have sustained their growth through exports and rising domestic demand. But several other countries of the region, including Brazil and Mexico, have posted lower growth, due to a slow-down in investments. Besides imbalances in growth, the crucial issue occupying the minds of the leaders of the region has been the inequitable distribution of wealth. The resource-rich region is yet to get integrated into global trade to derive full economic benefits. Low competitiveness of the region is another major cause for worry. Hence, the overwhelming consensus at the recently held Business Summit on Latin America, organized by the World Economic Forum (WEF), has been on initiating an Agenda for Action, identifying 10 Top Priorities, both social and economic, for immediate implementation. The cover story of the current issue of Indo-LAC Business gives a detailed account of the WEF Business Summit's proceedings and its outcome. It also includes a comprehensive review of Latin America's competitiveness in the current scenario of globalized manufacturing activity and trade. An in-depth analysis of the economies of countries in the LAC region by David Sinate of Export and Import Bank of India, presents the trends in GDP growth and bilateral trade. What is heartening is a sharp rise in two-way trade between India and Latin America, which crossed the $ 5-billion mark in 2005-06. The Inter-American Development Bank (IDB), has been a catalyst in promoting investment flows into Latin America and its President Luis Alberto Moreno, talks about making the institution more alert and agile in meeting the needs of the people across the region. The magazine carries two articles, dealing with IDB's developmental activities. Prime Minister Manmohan Singh will be visiting Brazil for a three-nation summit, the third country being South Africa, in September. He is expected to explore possibilities of entering into a “Free Trade Agreement” (FTA) with Brazil. We present a report. R. Viswanathan, a top diplomat from the Ministry of External Affairs, writes about Brazil's remarkable achievements in the field of agri-business, arguing that India must draw lessons from that country's success story. A high-ranking trade mission from Peru, headed by Juan Carlos Mathews, Executive Director of Peruvian Export Promotion Agency, visited India recently for an interactive session with Export Import Bank of India, during which he launched the e-Newsletter of Indo-LAC Business. We feel honoured and present the interactive session in a news and photo feature. Venezuela is famous for its fabulously beautiful women, bountiful nature and fun-loving people. We present a tourism feature on that country.
Wish you happy reading

Satya Swaroop   
Managing Editor
             
satya@newmediacomm.biz