Foreign Investment in Latin America, the Caribbean slid in 2003

A recent UN report shows direct foreign investment in Latin America and the Caribbean took a 20 percent nosedive last year, down to $36.5 billion.

The report, issued by the United Nations Economic Commission for Latin America and the Caribbean, disloses this was the only world region where foreign cash flow fell in 2003, chiefly driven by acute downturns in both Brazil and Mexico.

The study reveals that MERCOSUR, South America’s trade bloc formed by Argentina, Brazil, Paraguay and Uruguay, has endured the most spectacular decline in recent years.

The UN report points out, though, that foreign investment in Latin America and the Caribbean has helped to streamline the industry and improved an array of services.