September marked pivotal events across Latin America. Argentina faced currency tensions, while Brazil saw Bolsonaro’s conviction and protests against the shielding amendment. Costa Rica recorded export growth, Guatemala advanced as a service hub, and Panama and the Dominican Republic attracted strategic investments. At the UN, President Lula emphasized democracy and stressed that the only war everyone can win is against hunger and poverty.
Argentina
A Month of Economic Tensions for Argentina
In September, the government of President Javier Milei faced a real risk of a currency run, as savers increasingly withdrew dollars from banks. The situation became more complicated while the president was in New York, attending the UN General Assembly in search of political and financial support for his reform plans.
News of a potential “swap” with the United States, along with contacts with the Federal Reserve and the Treasury, helped calm the markets. Scott Bessent, Treasury Secretary, played a key role in proposing a swap line of up to USD 20 billion and other backup plans, including the use of the Exchange Stabilization Fund.
Meanwhile, in the agricultural sector, the reduction of export duties on grains initially raised expectations that quickly turned into discontent. The measure, announced with significant media fanfare, accelerated the liquidation of harvests, temporarily benefiting the Central Bank, but producers questioned the lack of long-term guarantees and claimed they had been used for an immediate political effect.
Costa Rica
Costa Rica Launches Tourism Investment Guide
The “Tourism Doing Business – Investing in Costa Rica” guide serves as a tourism investment manual which Costa Rica uses to welcome responsible investors while stimulating economic growth and creating new job opportunities.
The guide delivers a detailed assessment of tourism investment possibilities throughout Costa Rica. The guide presents three essential elements which include an evaluation of Costa Rica’s economic situation and market position relative to competitors and specific business prospects for developing new projects across hospitality and infrastructure and complementary services and sustainable tourism sectors.
The guide received its development from UN Tourism and the Costa Rican Tourism Institute (ICT) and the Foreign Trade Promotion Agency (PROCOMER) and the Development Bank of Latin America and the Caribbean (CAF).
Source: Vida y Éxito
Costa Rican goods exports grow +16% in the January–August 2025 cumulative period
The total export value of Costa Rican goods during January–August 2025 reached USD $15.036 billion which represents a +16% increase from 2024 levels. The total export value increased by USD $2.123 billion to reach USD $15.036 billion during the first eight months of 2025.
The precision and medical equipment sector maintains its position as the leading export category because it represents 48% of total exports while showing a 33% growth rate. The agricultural sector maintains its position as the second largest export sector with 17% market share and 3% growth rate because of rising gold coffee exports by 43% and frozen fruits by 35% and pineapples by 3%.
The food industry maintains its position as the third largest export sector with 12% market share while showing a 2% growth rate. The chemical–pharmaceutical sector makes up 5% of exports while showing a 14% growth rate and the electronics and electrical sector maintains 5% export value with an 8% increase. The livestock and fisheries sector experienced a 2% increase in its market value.
Source: Revista Summa
Guatemala
Attracting investment! Guatemala is positioning itself as a global services hub
Guatemala seeks to consolidate its position as a regional hub for global services, excelling in the BPO, ITO, KPO, and LPO sectors, driven by its young demographic bonus, macroeconomic stability, and international connectivity. Currently, the industry generates 55,000 direct jobs and in 2024 reached US$730 million in revenue, with an annual growth rate of 11%.
The country faces the challenge of evolving toward higher value-added services such as artificial intelligence and data centers, taking advantage of its strategic location to attract technological investments. However, competition with Costa Rica, Colombia, the Dominican Republic, India, and the Philippines requires strengthening the local ecosystem with qualified human talent, robust digital infrastructure, competitive tax incentives, and specialized international promotion.
The industry is characterized by offering formal employment and above-minimum wages, especially for bilingual young people, although there is still an annual gap of up to 20,000 unfilled vacancies due to a lack of personnel trained in English, mathematics, and engineering. Initiatives such as The Finishing School seek to close this gap.
Source: Soy 502
El Salvador
El Salvador’s exports grow 6.5% in 2025, according to BCR
El Salvador recorded 6.5% growth in exports between January and August 2025, reaching US$4.6 billion, demonstrating resilience despite the 10% tariff imposed by the United States. The manufacturing industry continues to be the main driver, especially textiles, agricultural products such as coffee, sugar, cocoa, and plastics, reinforced by investment in technology, training, and international standards.
Exports open up opportunities for entrepreneurs, SMEs, and foreign investors, although the challenge of a growing trade deficit persists, with imports increasing by 12.8%, driven by capital goods but also by high dependence on external consumption. This calls for import substitution policies, industrial strengthening, and greater market diversification.
Advances in logistics and infrastructure, modernization of customs, land routes, and the reactivation of the Port of La Unión project the country as a competitive regional hub. If the trend continues, El Salvador could close 2025 with more than US$7 billion in exports, consolidating its role in light manufacturing and agribusiness.
Source: El Salvador.com
Honduras
Foreign investment flow to Honduras fell 25.7% in the second quarter
In the second quarter of 2025, Honduras recorded a net flow of Foreign Direct Investment (FDI) of US$213.5 million, representing a 25.7% drop compared to the previous quarter (US$287 million). The result was mainly driven by the reinvestment of profits (US$364.3 million) in sectors such as finance, insurance, manufacturing, and maquila, which offset net capital outflows (US$51.4 million) linked to the cancellation of liabilities and export advances.
The sectors with the most movement were finance and insurance (US$159.5 million), goods for processing (US$70.3 million), and trade, restaurants, and hotels (US$54 million), supported by the recovery of trade accounts with foreign affiliates. Geographically, net inflows from North America amounted to just US$9.8 million, linked to agriculture and trade.
This behavior shows a dependence on the reinvestment of profits rather than new capital, which reflects confidence in the profitability of existing operations but also limits the attraction of fresh investment. The strategic challenge for Honduras is to diversify the sources of FDI, strengthen the business climate, and expand the recipient sectors in order to consolidate a sustainable flow that enhances the country’s competitiveness in the region.
Source: Estrategia & Negocios magazine
Panama
Key factors for attracting investment in semiconductors: How is Panama positioned?
Panama faces a unique opportunity to enter the global semiconductor industry, a sector that will exceed $63 billion by 2028. Although the country does not compete with technology giants, it is committed to becoming a strategic partner through its renowned logistics platform, the specialized talent graduating from the Technological University, and the support of training and innovation programs promoted by Senacyt (National Seminar on Technology and Innovation). Various studies indicate that if Panama were able to capture just 4% of the market, the economy would receive more than $2.5 billion in investment, a figure capable of transforming its productive matrix and consolidating high-quality jobs in technical and specialized areas.
Beyond capital, this commitment represents a far-reaching shift: a country that has traditionally relied on its geographical location could consolidate itself as a technological hub in the region, attracting highly complex industries such as artificial intelligence, robotics, and advanced manufacturing. The benefits would extend beyond direct jobs, multiplying in construction, logistics, and trade, with a GDP impact that could exceed $5 billion. Panama, which is already working to adjust its infrastructure, energy, and regulatory frameworks, is not only seeking investment, but also knowledge, innovation, and a leading role in the economy of the future.
Source: Revista Summa
Dominican Republic
Tourism captures half of foreign investment in the Dominican Republic
The Dominican Republic continues to position its tourism sector as the main recipient of foreign direct investment (FDI), capturing a large share of capital alongside the real estate sector. This trend highlights the importance of tourism in the national economy, driving hotel, real estate, and complementary infrastructure development projects. In 2024, total FDI reached US$4.523 billion, growing 3% compared to the previous year, while in the first half of 2025, FDI exceeded US$2.5 billion, with 22.4% directed to tourism.
The country projects that FDI will reach approximately US$4.86 billion by the end of 2025, supported by incentives from Law 158-01 for Tourism Promotion and Development, as well as backing from the local financial sector. However, to maintain and strengthen this capital attraction, the Dominican Republic must continue to enhance its tourism ecosystem, ensuring quality infrastructure, access to financing, and policies that encourage sustainable, long term investments.
Source: Listín Diario
Dominican Republic presents investment opportunities at business forum in China
The Dominican Republic showcased its potential as an investment destination in Beijing, China, highlighting its position as the largest economy in the Caribbean and one of the fastest-growing in Latin America. During the business forum, organized by the Dominican Embassy, commercial and investment opportunities were emphasized, along with the country’s political and economic stability, strategic location, and preferential access to a market of over 1.2 billion consumers through free trade agreements. In 2024, exports to China reached US$325.8 million, marking a 34.9% year-on-year growth, led by copper minerals, tobacco, and medical instruments.
The event promoted opportunities for cooperation in the tourism, energy, and technology sectors. It is projected that by 2025, the Dominican Republic will receive 12 million tourists, with annual investments in the sector exceeding US$1.2 billion. In energy, it is estimated that by 2030, 30% of the country’s energy matrix will come from renewable sources, while in technology, initiatives aim to develop artificial intelligence and semiconductors, drawing on China’s experience as a reference. Additionally, cooperation with Chinese companies in free zones has generated over 10,000 jobs, consolidating the country as a long-term strategic partner in the Caribbean market.
Source:El Dinero
Perú
Peru’s Central Reserve Bank raises economic growth forecast to 3.2% for 2025
The Central Reserve Bank of Peru (BCRP) has adjusted its estimates and now forecasts that the Peruvian economy will grow by 3.2% in 2025, according to its latest Inflation Report presented by its president, Julio Velarde. The figure represents a slight improvement on the June estimate, which projected growth of 3.1%. The report indicates that domestic demand would increase by 5.1% in 2025. This result would be driven mainly by private investment, with an estimated growth of 6.5%, and by private consumption, which would expand by 3.5%. Likewise, public investment would also reach a growth of 6.5% next year.
Source: Infobae
Eighth AFP 2025 withdrawal of 4 UIT approved: Congress gives green light to new disbursement of up to S/ 21,400
The Peruvian Congress approved a ruling that allows members of Pension Fund Administrators (AFP) to make an extraordinary and voluntary withdrawal of up to four Tax Units (UIT), equivalent to S/21,400, from their individual accounts. The rule stipulates that this withdrawal will not affect the right to a minimum pension or imply the loss of access to the pension system for those who decide to take advantage of the measure. On the other hand, the ruling establishes the voluntary nature of pension contributions by self-employed workers and restores the right to withdraw up to 95.5% of the pension fund at the time of retirement.
Source: Infobae
PERUMIN 37, a mining summit that closed with a call to strengthen coordination between the sector, academia, and the State, was held
PERUMIN 37, held in Arequipa from September 22 to 26, 2025, brought together thousands of representatives from the mining sector, authorities, and academics, consolidating itself as one of the most important events in the region. During the convention, the record participation of women in the industry, the sustained growth of mining employment, and the presentation of more than 600 technical papers at the TIS Forum were highlighted, in addition to promoting investment and strengthening dialogue on the future of mining in Peru.
Source: RPP
Mexico
Mexico Strengthens Ties with the U.S. Amid Signs of Slowdown
The second month has ended in the three-month grace period set by the U.S. President Donald Trump before increasing tariffs on goods imported from Mexico. The government led by President Claudia Sheinbaum continues its efforts to address the factors that currently strain the relationship between these two historic trade partners.
Earlier this month, Sheinbaum Pardo met with U.S. Secretary of State Marco Rubio, where they agreed to create a high-level group that will meet regularly to monitor mutual commitments. Among the key issues to be followed are progress in countering the security crisis and curbing the trafficking of substances across the shared border.
Although the meeting was criticized by some sectors as an act of interference, those involved emphasized that the work will be carried out with full respect for sovereignty and territorial integrity. Moreover, given the current economic context, Mexico would significantly benefit if it manages to maintain, or even reduce, the costs currently weighing on trade and economic growth.
Economy Loses Momentum
Evidence of this slowdown came with the decline in gross fixed investment in Mexico in June, published earlier this month, marking the third drop so far this year. Meanwhile, remittances to Mexico, crucial for the country’s economy, fell in July for the fourth consecutive month, despite the average remittance amount increasing, according to official data, amid trade difficulties.
On the price front, INEGI reported that Mexico’s consumer inflation accelerated in August to 0.06% month-on-month and 3.57% year-on-year, remaining within Banxico’s target range of 3% +/- 1%. The number of new formal jobs registered with the IMSS fell sharply in August, down 62.5% to 21,750, and cumulative job creation over the first eight months of the year dropped 40.7%.
Mexico’s industrial activity declined 1.2% month-on-month in July (2.8% year-on-year), marking two consecutive months of contraction amid investment uncertainty driven by tariffs. Among the four groups of activities that make up the indicator, manufacturing posted the weakest performance.
Brazil
Conviction of Jair Bolsonaro, “PEC da Blindagem” and Lula’s Speech at the UN marked September news in the country
In September, Brazil experienced significant events in the political and democratic sphere. The Federal Supreme Court (STF) sentenced former president Jair Bolsonaro to prison for orchestrating an attempted coup d’état on January 8, 2022, just days before the inauguration of democratically elected president Luiz Inácio Lula da Silva. The decision was approved by a majority of the justices, and Bolsonaro is awaiting the execution of his sentence at his residence.
In the Legislative branch, the Chamber of Deputies controversially approved the so-called “PEC da blindagem” (Shielding Amendment), which proposed amnesty not only for crimes related to attacks against democracy but also for serious offenses such as rape and murder. The measure sparked a strong public reaction. On September 21, millions of Brazilians took to the streets in protest, pressuring Congress. The impact was immediate: the Senate shelved the proposal, halting an initiative that could further undermine the rule of law.
On the international stage, President Lula highlighted the importance of democracy during the UN General Assembly. In his speech, he stated that democracy requires reducing inequality and guaranteeing fundamental rights, stressing that the only war everyone can win is the one against hunger and poverty.
Sources: Jota Info, STF, agencia brasil