2011

Emerging Markets Roundup: Africa

ETHIOPIA POWERS UP GENERATION PLANS By Antonio Guerrero Ethiopia in April launched a $4.7 billion project to build Africa’s largest hydropower plant. Drawing on the power of the Nile Ethiopia in April launched a $4.7 billion project to build the ...

Santos Raises Colombia’s Profile

NEWSMAKERS : COLOMBIA By Antonio Guerrero Less than a year after being sworn in, Colombia’s president Juan Manuel Santos is helping put his country back on the radar for investors scared away by guerrilla rebels and drug lords. Santos: Colombia ...

Mercosur Turns 20 And Ruffles EU Feathers

MILESTONES: MERCOSUR By Antonio Guerrero The Southern Cone Common Market (Mercosur) is celebrating its 20th anniversary this year. Argentine beef exports could threaten Europe's farmer The world’s third largest trade bloc, after the EU and Nafta, comprises Argentina, Brazil, Paraguay ...

Emerging Markets Roundup: Africa

SENEGAL LANDS SOVEREIGN RATING By Antonio Guerrero Senegal received its first-ever sovereign credit rating from Moody’s in March, as the government prepared to launch its debut $500 million Eurobond. Reaping the benefits Moody’s granted Senegal a B1 rating, with a ...

Emerging Markets Roundup: Brazil

BRAZIL’S BLISTERING GROWTH RATE COULD HAVE ITS DOWNSIDE By Antonio Guerrero After enduring a 0.3% contraction in 2009, Brazil’s economy expanded by 7.5% in 2010, according to the country’s government. Enjoying the excesses The sharp reversal represents the fastest expansion ...

Brazil Faces Life After Lula

UPDATE: BRAZIL By Antonio Guerrero Brazil’s new president has already impressed the business community. But can she impress her own party? Brazilian president Dilma Rousseff, a former Marxist guerrilla fighter, has gotten high grades from the nation’s business community since ...

Emerging Markets Roundup: Africa

ROUNDUP: AFRICA By Antonio Guerrero Plans for launching a single West African currency by 2015, to be known as the Eco, are being thwarted by members’ failure to meet the program’s criteria. Zuma: Calling for help Five of the six ...

Colombia: China Evaluates Panama Canal Rival

NEWSMAKERS: COLOMBIA By Antonio Guerrero Santos: In talks with China over 250-mile rail link The first ship crossing the Panama Canal had barely completed its voyage, after the canal opened in 1914, when engineers and politicians began conspiring to build ...

Ecuador / US: Record Fine Sparks Fierce Legal Battle

MILESTONES: ECUADOR/UNITED STATES By Antonio Guerrero Still waiting: Chevron's appeal delays payment of its fine When a provincial court in Ecuador in February ordered Chevron to pay an $8.6 billion fine for damaging the rainforest, the ruling intensified an 18-year ...

Emerging Markets Roundup: Brazil

ROUNDUP: BRAZIL By Antonio Guerrero Healthy demand for Brazilian equities is driving a rush to list on Brazil’s BM&F; Bovespa Stock Exchange. BM&F; Bovespa: Business is booming With corporations showing an appetite for raising cash to finance expansion plans, the ...

Emerging Markets Roundup: Africa

ROUNDUP: AFRICA By Antonio Guerrero Government incentives are paying off for Zambia's copper sector, with output expected to surpass 740,000 tons this year for the first time, pushing it above the record highs of the early 1970s. Payback: Incentives have ...

Emerging Markets Roundup: Brazil

ROUNDUP: BRAZIL By Antonio Guerrero The Brazilian government is taking further measures to halt a currency rally that may dent the country's trade surplus, with the real having gained more than 40% against the dollar since the end of 2008. ...

Mexico: Drug War Dents Economic Recovery

MILESTONES: MEXICO By Antonio Guerrero While Mexico's economy is recovering from its worst recession in 80 years, the spread of drug-related violence is hindering a more dynamic rebound. The drug war has claimed more than 30,000 victims since president Felipe ...

Islamic Finance: A New Frontier

TRENDS: ISLAMIC FINANCE IN LATIN AMERICA By Antonio Guerrero With Islamic financial institutions seeking to expand into emerging markets in Africa and Asia, could Latin America be next? While Islamic financial institutions have aggressively expanded through Asia and Africa, Latin ...

Emerging Markets Roundup: Brazil

ROUNDUP: BRAZIL By Antonio Guerrero Rousseff: Getting off to a steady start Brazil's newly installed president, Dilma Rousseff, provided a firm indication of her administration's plan to continue the economic policies of her predecessor, Luiz Inácio Lula da Silva, by ...

Emerging Markets Roundup: Africa

ROUNDUP: AFRICA By Antonio Guerrero Electricity goes private Nigeria requires annual investments of up to $10 billion to tackle its infrastructure deficit, according to government officials in Abuja. Much of the investment would be focused on meeting the government's target ...

LatAm: Growth Brings Hope For Region’s Poorest

MILESTONES: LATIN AMERICA By Antonio Guerrero Looking up: Poverty is declining in Latin America Latin America's robust recovery from the global financial crisis is having an impact even on the poorest people in the region, according to a new report ...

2010

Emerging Markets Roundup: Brazil

ROUNDUP By Antonio Guerrero Doubling up: Vale plans to ramp up spending next year Mounting concerns over Banco PanAmericano's liquidity sent its shares into freefall and prompted a government bailout. The bank—Brazil's 20th largest by assets—received a $1.5 billion emergency ...

Emerging Markets Focus: Latin America

COVER STORY: MUTUAL BENEFITS By Antonio Guerrero Latin America is enjoying growing prosperity as the region develops ever-stronger economic ties with Asia. When Chinese President Hu Jintao took his first tour of Latin America in 2004, he left a whirlwind ...

Emerging Markets Roundup: Africa

ROUNDUP By Antonio Guerrero Good to go: Tullow resolves dispute over Uganda's oil fields Uganda moved closer to becoming an oil producer after UK-based Tullow Oil reached an agreement with the government over a tax dispute. Tullow, which paid $1.5 ...

Argentina: Unease With Profit-Sharing Plan

NEWSMAKERS: ARGENTINA By Antonio Guerrero Kirchner: Hoping to mend fences with the unions A controversial profit-sharing bill submitted to Congress by Argentina's ruling coalition is becoming a proxy fight between the nation's labor and business sectors ahead of next October's ...

Emerging Markets Roundup: Africa

ROUNDUP By Antonio Guerrero Ghana’s mining sector gets a funding boost from China Ghana has become the leading recipient in sub-Saharan Africa of Chinese infrastructure financing, giving China unrivaled access to the country's commodities sector. Ghana signed a $13 billion ...

Coming In From The Cold

ANALYSIS : CUBA By Antonio Guerrero For the first time in decades, signs are beginning to appear that Cuba may be softening its socialist stance. When Cuba's former president Fidel Castro told an American journalist in September that the island's ...

Mexico: Bond Issue Breaks New Ground

MILESTONES: MEXICO By Antonio Guerrero Mexico’s financing needs taken care of with century bond Mexico may have set the stage for a stampede in October when it successfully issued Latin America's first-ever sovereign century bond, a $1 billion, 100-year issue. ...

Emerging Markets Roundup: Brazil

ROUNDUP By Antonio Guerrero Brazil lights up at the prospect of increased foreign investment Sinopec, China's second-largest oil and gas producer, is investing $7.1 billion in the Brazilian unit of Spain's Repsol YPF oil company. The capital increase, which gives ...

Emerging Markets: Africa

Roundup By Antonio Guerrero Foreign ownership of mines in Zimbabwe challenged by law Zimbabwe's government is continuing its campaign against foreign ownership, insisting that businesses with assets of more than $500,000 must be 51%-owned by black Zimbabweans within five years ...

Country Focus: Peru

SECOND ACT By Antonio Guerrero In his second term, Peru’s president Alan Garcia is making amends for the shambles he left his country in after his first term. Peruvian president Alan Garcia is leading one of the world's most impressive ...

Emerging Markets: Africa

ROUNDUP By Antonio Guerrero Uneasy balance: Mugabe (right) and Tsvangirai still have issues with power sharing South Africa's state-owned development lender Industrial Development Corporation (IDC) plans to issue bonds and sell an estimated $3.6 billion worth of its listed shares ...

Poor Gain Better Access To Financial Services

MILESTONES: GLOBAL By Antonio Guerrero Despite the fact that 60% of the world's economies posted a drop in real per capita income last year, access to formal financial services in developing countries grew. According to "Financial Access 2010," a survey ...

Emerging Markets: Brazil

Roundup By Antonio Guerrero Brazil’s leading ethanol processor seals deal with Shell Brazil's Cosan, the world's largest ethanol and sugar processor, and Royal Dutch Shell are merging their Brazilian operations in a deal valued at $12 billion. Under the plan, ...

Features: The Americas - Mexico

MEXICO'S NEXT WAVE Although it was hit hard by the downturn in the US, Mexico is setting a course for a strong recovery. Its banks are helping to stimulate renewed growth. By Antonio Guerrero Long controlled by foreign players—Spain's BBVA ...

Newsmakers: Downturn Throws Chávez Onto The Ropes

Venezuela By Antonio Guerrero Chávez: Economic troubles are turning his dreams into a nightmare Venezuelan president Hugo Chávez's dream of spreading his "21st century socialism" throughout Latin America could be halted by a troubled economy. After he spent much of ...

Emerging Markets: Brazil

ROUNDUP By Antonio Guerrero With Brazil's economy expected to grow at around 7% this year and borrowing costs declining, Brazilian companies are seeking financing for their expansion plans. MMX, a leading metals and mining company, hopes to raise $2.2 billion ...

Holding Steady

ANNUAL SURVEY: CENTRAL BANKER REPORT CARDS by Gordon Platt, Antonio Guerrero and Dan Keeler Central bankers sit tight in the face of renewed global uncertainty. Indications that the global economic recovery is losing momentum have created a new set of ...

Economic Focus: Brazil

PLAY ON By Antonio Guerrero Brazil is betting that its huge investment in infrastructure projects for the 2014 Soccer World Cup and the 2016 Olympics will provide long-term benefits to the country. Just six weeks after Rio de Janeiro won ...

Emerging Markets: Brazil

ROUNDUP By Antonio Guerrero Flying high: Embraer sees rise in order backlog Spain’s Telefónica agreed to buy Portugal Telecom’s stake in Vivo, Brazil’s largest mobile-telephony provider, for $9.8 billion. With 56 million clients, Vivo has an estimated 30% share of ...

Country Report: Spain

AN ATTAINABLE GOAL By Antonio Guerrero Spain's economy is still under pressure, but signs of renewed confidence are slowly emerging. When Spain beat the Netherlands in July to win the country's first-ever soccer World Cup, Spaniards took to the streets ...

Emerging Markets: Africa

ROUNDUP By Antonio Guerrero Front right: Corruption fighter Goodluck Jonathan Flushed with confidence after its peaceful referendum on a new constitution, Kenya plans to issue $390 million of infrastructure bonds, the government’s fourth such issue. The bonds will have maturities ...

Emerging Markets: Brazil

ROUNDUP By Antonio Guerrero Petrobras, Brazil’s state-controlled oil company, is planning a $25 billion rights issue—one of the largest in history. The company hired Bank of America Merrill Lynch, Bradesco BBI, Citigroup, Itau BBA, Morgan Stanley and Banco Santander to ...

Emerging Markets: Africa

ROUNDUP By Antonio Guerrero The African Development Bank (AfDB), which plans to increase its capital base to $100 billion, launched a $600 million fund to strengthen African banks. The fund was created through a partnership with the European Development Bank, ...

New Leader Promises To Heal Regional Wounds

NEWSMAKERS: COLOMBIA By Antonio Guerrero Juan Manuel Santos Colombians have reaffirmed their support for conservative politics and economics, electing the newest member of a growing group of right-wing Latin American leaders. President-elect Juan Manuel Santos won the run-off election on ...

Investment Floods Back To Latin America

MILESTONES: LATIN AMERICA Investment Floods Back To Latin America By Antonio Guerrero High and dry: Caribbean countries may miss out Following a hefty 42% yearon- year drop in FDI in Latin America last year, investors appear to be showing their ...

Emerging Markets Roundup: Brazil

Roundup By Antonio Guerrero Hot property: Vale sells its aluminum business to Norsk Hydro In what is ranked as one of the largest acquisitions ever by a Norwegian company, Norway's Norsk Hydro aluminum producer signed a $4.9 billion deal to ...

Rating Upgrade Vindicates Morales’s Policies

NEWSMAKERS: BOLIVIA Rating Upgrade Vindicates Morales’s Policies By Antonio Guerrero Morales: High hopes for Bolivia’s econom y While many international investors have grown to distrust Bolivian president Evo Morales, a socialist who nationalized the hydrocarbons sector and telephone company, it ...

Emerging Markets Roundup: Africa

Roundup By Antonio Guerrero South Africa’s central bank: Shareholders to get less control Nigeria has secured a $915 million concessionary loan from the World Bank to help the government fund infrastructure development projects. Funds will be drawn between 2010 and ...

Emerging Markets: Brazil

Roundup By Antonio Guerrero Cotton on: End of trade battle gives hope in ethanol dispute The Brazilian government launched the second phase of its economic stimulus plan, this time involving an estimated $883 billion in infrastructure investments through 2016. The ...

Emerging Markets: Africa

Roundup By Antonio Guerrero Digging deep: Companies mining in Zambia face high taxes The World Bank is asking members to support a controversial $3.75 billion loan to Eskom, South Africa's state-run power utility. The loan would be used to finance ...

Features: Awards–Best Emerging Market Banks 2010 Latin America

LATIN AMERICA by Antonio Guerrero REGIONAL WINNER: Banco Santander Brazil continues to shine as the jewel in Santander's crown, helping the Spanish bank consolidate its position as Latin America's premier financial group. Santander Brasil set a benchmark in 2009 when ...

Newsmakers: Investors Heartened By Calderón's Recovery Efforts

Mexico By Antonio Guerrero Calderó n: Boosting investors’ confidence in Mexico While Mexican president Felipe Calderón works to kick-start his nation's economy, badly hit by the US recession, international investors are encouraged by signs of recovery and have unleashed a ...

Latin America Takes a Right Turn

RIGHT TURN A rash of recent elections in Latin America has produced a marked swing to the political right. The region's new leaders are trying to strike a delicate balance as they attempt to build on their leftist predecessors' social ...