Uruguay’s record-setting economic growth streak
How a small country outperforms its neighbours
AFTER long recessions, Brazil and Argentina still cheer when good economic news comes out. In tiny Uruguay, sandwiched between them, it is old hat. On March 22nd the central bank reported that GDP grew by 2.7% in 2017, bringing the country’s growth streak to 15 years, the longest expansion in its history. Uruguay’s growth since 2011, when global prices of commodities started to fall, puts its neighbours to shame (see chart). Its success shows the value of openness, strong institutions and investment in know-how.
This article appeared in the The Americas section of the print edition under the headline “The magic of Montevideo”
From the March 31st 2018 edition
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