In addition to Argentina, there are Brazil, China, India, Indonesia, Mexico, Russia, South Africa, Thailand and Turkey.
The report was presented in the framework of the annual meeting of the IMF and the World Bank.
Debt accumulation remained lower for Latin American and Caribbean countries, but averaged 8.4% for Argentina, Brazil and Mexico, he said.
Investments
The report indicates that in the Argentine case, the inflow of foreign direct investment (FDI) continued on the downward trend that began in 2018.
That key indicator fell 42% in 2020, to just $ 3.8 billion, according to the agency’s data.
The report noted that “the challenging economic environment and the prolonged shutdown of the industry had an adverse impact on FDI, with new investment falling 45%, while reinvested earnings fell 22%.”
It consigned the departure from Argentina of several international companies such as Walmart, Schlumberger and Danone France, which sold their assets to national investors.
The report noted that economies around the world face a “daunting challenge due to high and rapidly increasing debt levels.”
Carmen Reinhart, senior vice president and chief economist at the World Bank Group, said that “policy makers should prepare for the possibility of debt distress when financial market conditions become less benign, particularly in emerging markets and developing economies. “.
“Governments responded to the COVID-19 pandemic with massive fiscal, monetary and financial stimulus packages. While these measures were intended to address the health emergency, cushion the impact of the pandemic on the poor and vulnerable, and put countries On the road to recovery, the resulting debt burden of the world’s low-income countries increased 12% to a record $ 860 billion, “the World Bank warned.
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