The balance of payments

The balance of payments has been the most sensitive gauge of the economic situation of the different Latin American countries in the post-war period. It has reflected promptly the rate of development, fluctuations in production, changes in inflationary pressures, foreign and domestic price movements, etcetera. The necessity for maintaining equilibrium in the balance of payments has been a deterrent to plans for rapid development and has led to complex policies of state intervention affecting large sectors of the different economies. The Latin American Governments have been particularly concerned in recent years, more so than in the past, with maintaining their balance of payments at a constant rate of exchange, primarily because equilibrium at a fixed rate is considered a favourable factor in economic development and for maintaining certain social objectives (distribution of income).

Sustainable Development Goals:

Decent Work and Economic Growth

Industry, Innovation and Infrastructure

Peace, Justice and Strong Institutions