What is new in Latin America? September's recap

Mexico: historic political transition

As Mexico reflects on the 10th anniversary of the Ayotzinapa Massacre, the country still wrestles with the unresolved disappearance of 43 students from the Ayotzinapa Rural Teachers’ College in Guerrero back in 2014. Despite a decade of protests, investigations, and promises of justice, the full truth remains out of reach, fueling public frustration and a growing demand for transparency from the government. This tragic event has come to symbolize impunity, corruption, and the deep-rooted challenges within Mexico’s judicial system, continuing to cast a long shadow over the nation’s human rights record.

At the same time, Mexico is on the cusp of a historic political transition, with Claudia Sheinbaum set to become the country’s first female president. Her election represents a pivotal moment, potentially signaling a shift in leadership priorities, especially in tackling inequality, climate action, and the ongoing security crisis. Sheinbaum’s administration will face the delicate task of addressing these urgent national concerns while also responding to the lingering demands for justice in cases like Ayotzinapa and maintaining political stability.

Meanwhile, violence and unrest persist in key regions, particularly in Sinaloa, where drug cartels continue to hold significant power. Despite efforts from both federal and local governments, cartel-related violence, kidnappings, and drug trafficking remain rampant, presenting a major security challenge. This volatility, combined with the country’s broader security issues, underscores the complexity of the challenges Sheinbaum will inherit as she works to address both historical injustices and current crises.

Peru: a lot has happened!

1. Pension Reform and Mandatory Affiliation to AFPs: The government recently passed a new AFP law, introducing a minimum pension of S/600 starting in January 2025. The law also mandates that all citizens over 18 must enroll in a pension system, either public (ONP) or private (AFP). While this move aims to expand pension coverage, it has sparked debate about the sustainability of the system and whether it truly guarantees a decent pension for Peruvians.
2. Income tax for digital platforms: The National Superintendency of Tax Administration (Sunat) has launched a virtual RUC registration for digital platforms like Netflix and Spotify, which will begin collecting and/or withholding IGV starting in October. Since September 1st, foreign digital platforms can register remotely through Sunat Virtual by providing basic details like identification, country of residence, economic activity, website URL, legal representative, and contact information.
3. Artificial intelligence in Peru: Congressman Flavio Cruz Mamani introduced a bill to integrate artificial intelligence into Peru’s financial system. The goal is to boost the efficiency and security of institutions like Banco de la Nación and the Central Reserve Bank. This initiative aims to streamline processes, detect fraud, and protect users’ personal data through audits and the analysis of large volumes of financial data.
4. Government seeks to promote mining towards 2050: The Minister of Energy and Mines, Rómulo Mucho, announced that the ministry is leading efforts to draft the National Multisectoral Mining Policy for 2050. This policy will focus on enhancing the competitiveness and sustainability of mining operations, ensuring responsible use of mineral resources for the benefit of society as a whole.

Brazil: how to help the Amazon

We’ve got two updates on completely different topics. The first, which is more urgent, is about the Amazon. The region has been facing a drought since 2023, but things hit a critical point in September 2024, mainly due to El Niño and climate change.

Last month, several rivers hit record lows, like the Rio Negro, which dropped to just 12 meters—the lowest level since 1902. The drought has severely impacted local communities, wildlife, and plants. In one particularly tragic event, 150 pink river dolphins were found dead due to the extreme heat in the water.

If you’d like to help, check out these organizations: SOS Amazônia, Amazon Watch, and Instituto Socioambiental.

Betting industry update

For betting companies to operate legally in Brazil, they needed to request authorization from the Ministry of Finance. Those that didn’t must allow users to withdraw their funds by October 10th before shutting down. If they stay online past that date, they could face fines of up to 2 billion reais. There’s also a required license fee of 30 million reais.

The idea is to crack down on illegal activities like money laundering, deceptive advertising, and fraud.

Argentina: chaotic spring

Spring has brought no relief from Argentina’s fast-paced events. Here’s a snapshot of three major developments:

Wildfires in Córdoba: The forest fires in Córdoba have intensified, forcing evacuations across several areas. Authorities suspect arson in most cases, with at least 11 people arrested for possibly starting the fires.

University Protests and Strikes: Unionized university workers held a national strike from September 25 to 27, demanding better wages and working conditions. The protests have caused significant disruptions, particularly in transportation and university operations across the country.

Javier Milei’s UN Speech: Argentine President Javier Milei stirred controversy in his first speech at the UN General Assembly, where he announced that Argentina would abandon its longstanding neutrality in international conflicts. He also criticized the UN for enabling “bloody dictatorships” and claimed the organization had lost credibility.

Colombia in five topics

1. Colombia unveils three goals of the plan to protect biodiversity to be presented at COP16: Colombia has outlined three key objectives in its biodiversity protection plan, set to be presented at COP16. The first goal focuses on restoring degraded ecosystems, aiming to revive critical habitats. The second target is the expansion of protected areas, increasing the coverage of ecosystems under legal protection. Lastly, the plan emphasizes promoting a sustainable economy grounded in biodiversity, ensuring the balance between conservation and economic growth. By achieving these goals, Colombia aims to safeguard its natural resources while enhancing both economic resilience and quality of life, positioning itself as a leader in global biodiversity conservation.
   
2. Nearly 265,000 tickets were sold at the recent U-20 Women’s World Cup: The FIFA U-20 Women’s World Cup in Colombia left a significant legacy by boosting women’s soccer and increasing the participation of girls and young women in the sport. In addition, the tournament generated a positive economic impact, boosting tourism and creating jobs, while improvements in sports infrastructure will benefit the country in the long term. In the social sphere, the World Cup strengthened national identity and projected Colombia as a reliable destination for hosting major international sporting events.
3. President Petro and Minister Muhamad lead tour to save the Amazon in Florencia: On September 12, 2024, in Florencia, Caquetá, the ‘Save the Rainforest, Conserve Pays Tour’ was launched, with the presence of President Gustavo Petro and the Minister of Environment, Susana Muhamad. The event presented a plan focused on three key objectives: stabilizing the territorial rights of the peasantry, promoting the bioeconomy and creating a public-popular alliance to conserve the Amazon. Petro stressed that saving the rainforest is only possible with the support of its inhabitants, promoting ecosystem restoration instead of livestock and agricultural expansion. The tour will continue in other regions of the Amazon to strengthen these agreements.
4. Bogota returns to daily water rationing: As of September 29, Bogota will once again face daily water rationing due to reduced rainfall and low reservoir levels. This new restriction scheme, which involves 24-hour cuts per zone, seeks to guarantee supply for the entire population. It is essential that citizens actively collaborate in saving water and follow the recommendations of the authorities to overcome this situation. Water scarcity is a problem that requires everyone’s attention and the implementation of long-term measures to ensure the sustainability of the resource.
5. The day of love and friendship could activate trade in the country, according to Fenalco study: Every September 21, Colombia celebrates the Day of Love and Friendship, a holiday that historically boosts trade and the country’s economy. This year, the Federación Nacional de Comerciantes Empresarios (FENALCO) conducted a nationwide survey to evaluate the economic impact of this celebration. Despite the economic difficulties faced by Colombia, it is estimated that 8 out of 10 Colombians celebrate this date.
6. Among those who intend to celebrate, 40% will allocate between 50,000 and 100,000 pesos for their gifts, 23% plan to spend between 100,000 and 200,000 pesos, 29% will opt to spend up to 50,000 pesos and 8% contemplate investing more than 200,000 pesos.
   “We hope that this emblematic celebration, in the midst of a complicated situation for commerce and restaurants, will contribute to improve the economic outlook,” said Jaime Alberto Cabal, president of FENALCO.