He exchange delay began to escalate in recent weeks among the main topics of political debate and specialists warned that the situation could conspire against the arrival of investments to the country in the second semester.
After a record year of Foreign direct investment (FDI), issues such as the value of dollar, the level of the Monetary Policy Rate (TPM) and the previous elections 2024 begin to play in the minds of investors when analyzing whether or not to land in Uruguay.
The director of Urraburu e Hijos Stock Broker and president of the Montevideo Stock Exchange (BVM), Angel Urraburu, admitted in dialogue with Ambit that “there is not much news” in emissions, admitting that the situation “is not easy” and economic agents “are studying the panorama.”
“For there to be an issue there must be an investment,” he reflected on the current situation in the capital market, questioning that, despite the latest reduction, the interest rate of the Central Bank of Uruguay (BCU) is “high in relative and real terms”, comparing 3.8% of inflation year-on-year with TPM of 8.5%.
Added to this is the uncertainty that increases in an election year. “There are a lot of doubts about who will win the election,” she said when trying to analyze the behavior of investors.
On the other hand, he considered that the criticism about the exchange rate They constitute a political use without proposals, which allows the market to speculate and curb the conviction to invest. “If you don’t know what’s going to happen to him dollar, “With the exchange rate lag being so criticized, they say: ‘let’s wait a bit.'”
The investment climate started the year with good feelings
Although the exchange delay and the probability that the BCU will not cut the MPR in the short term conspire against the arrival of more investments for the capital market, It is worth highlighting that the investment climate This year started with positive feelings.
It is that 84% of the foreign companies was satisfied with the current situation and 40% would reinvest in the next five years, according to the latest survey carried out by Uruguay XXIwhere the agents highlighted the stability economic, political and social, which is reflected in the institutionalityas well as the exonerations and tax incentives and exchange freedom.
On the other hand, a study of CPA Ferrere highlighted that 8 out of every 10 private capital investments in the country are concentrated in the IT sector, with a total of 16.5 million dollars and a predilection for the medium term, with bets between 3 and 7 years.
Likewise, a third of investors said they had made impact investments, with environmental focus, while 1 in 6 have a strong tendency to invest in projects led by women.
Source: Ambito
