Regional Economic Outlook: Western Hemisphere, October 2025: Navigating a Shifting Global Environment

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by International Monetary Fund

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Growth in Latin America and the Caribbean is expected to remain steady in 2025 and moderate slightly next year. Inflation convergence toward targets continues, though at a slower pace. The continued increase in public debt underscores the need for fiscal consolidation. While past reforms have secured price stability and helped anchor inflation expectations, lower public debt and improvements in fiscal stances can aid monetary policy in achieving inflation targets. Addressing low productivity through targeted structural reforms is essential for enhancing business dynamism and boosting growth.

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