PANAMA WILL GROW 9.9% IN 2021; WILL LEAD THE REGION: World Bank

The World Bank highlighted the recovery in the prices of raw materials that represent an important economic support in Central America.

Panama will grow 9.9%, which is why it will lead the growth in Central America during 2021, according to the updated expectations of the World Bank released this Monday.

It is followed by the Honduran economy with an expectation of growth of 4.5%, while a GDP of 4.1% is expected for El Salvador, reveals the World Bank study.

Costa Rica and Guatemala will possibly have growth of 2.6% and 3.6%, respectively. The Nicaraguan economy will have a slight growth of 0.9%, shows the World Bank.

Latin America will grow 4.4%

The economy of Latin America and the Caribbean, the one most affected by the covid-19 pandemic, will rebound in 2021 by 4.4% after the fall of 6.7% last year, although an "accelerated" process may enter that increase "inequality within and between countries," the World Bank warned today in its biannual report on the region.

In this way, the agency slightly improves its latest forecasts, in which it predicted an expansion of the regional Gross Domestic Product (GDP) of 4% for 2021e after a 7.9% collapse in 2020.

"This pandemic gave rise to a process of creative destruction that can result in faster growth but that can also widen inequality within and between countries in the region," said Martín Rama, World Bank Chief Economist for Latin America and the Caribbean .

Among the encouraging elements for the region, the organization led by David Malpass highlighted the recovery in the prices of raw materials and the rebound in remittances sent by immigrants, which represent an important economic support in Central America and the Caribbean.

The World Bank (WB) will hold together with the International Monetary Fund (IMF) next week its spring assembly, again virtually, and in which global perspectives and challenges will be discussed in the midst of the recovery after the deep crisis triggered by the pandemic.

With information from EFE: https://forbescentroamerica.com/2021/03/29/panama-crecera-9-9-en-2021-liderara-a-la-region-banco-mundial/