​​​​​What you should know

• Colombia: On Sunday, President-elect Gustavo Petro will be sworn in as the new president.
• Mexico: The government will have spent $28 billion during 2022 in programs and gasoline and electricity subsidies to tame inflation.
• Argentina: Sergio Massa was appointed to head a new “super-ministry” created by combining the current Economy, Productive Development, and Agriculture ministries. The previous economy minister lasted less than a month in the role.

Monitoring economic headwinds and tailwinds in the region

• Brazil: Higher-than-expected growth rates and increasing concerns over inflation are likely to push the central bank to continue raising interest rates.
• Trinidad and Tobago: S&P raised its outlook on the country’s bonds from “negative” to “stable” in light of its resiliency against multiple shocks.
• Panamá: The government announced price controls on 72 food products in response to ongoing protests, with the goal of reducing rising costs by 30 percent. Negotiations with the protestors continue. 
• Colombia: Incoming Economy minister José Antonio Ocampo said “a great tax reform” was necessary, and pointed to tax evasion as a major concern for his office.   
• Honduras: A municipal government outside the capital established a “Bitcoin Valley” to train local businesses in using and managing cryptocurrency, joining El Salvador in cryptocurrency experiments.
• Bolivia: Minister of Finance and Economy attributes a low 1.2 percent inflation in the first half of 2022 to subsidies encouraging agricultural production and on fuel.  

In focus: Alliance for Development in Democracy expands work

Last week, the members of the Alliance for Development in Democracy – The Dominican Republic, Panamá, and Costa Rica – announced a new Consultative Dialogue on Supply Chains and Economic Growth with the United States. This group will work with the private sector to attract nearshoring investments and boost supply chain resiliency. Representatives from the three countries met with the US Chamber of Commerce to provide input on the Chamber’s work on supply chains.  

The founding members and the United States also celebrated the entry of Ecuador into the project. Ecuador announced its accession at the Ninth Summit of the Americas in June. 

Health + Innovation

• Monkeypox: Over 1,395 cases have been confirmed across LAC, accounting for 6 percent of the total global count.
• COVID-19: Reported cases across the region have decreased by 41 percent week-on-week as of August 4.
• Donations: To date, the United States has donated over 70 million vaccine doses to 30 countries across the Western Hemisphere.

Geopolitics of vaccine donations: US vs. China

• The United States outpaces China in its donations of COVID-19 vaccines to Latin America and the Caribbean, with Colombia and Mexico topping the list. The region has received roughly 52 percent of all US COVID-19 vaccine donations. To learn more, visit our COVID-19 vaccine tracker: Latin America and the Caribbean.