More Latin Americans Will Travel Next Year

The flare-up of Latin American currencies will certainly drive 8 to 10 percent more citizens from this neck of the woods to pack their bags and shell out some $16 billion in journeys overseas next year.

According to Infoamericas Tendencias, a group devoted to specialized research on markets in the Western Hemisphere, this figure represents $1.5 billion more than what Latin American travelers spent in 2003, a trend that must remain very much on the rise through 2005, experts say.

Other factors that are putting a positive spin on this wanderlust scenario are the nonstop inflow of money remittances and the decline of political instability in the region.

In 2003, Latin American currencies regained 15 percent of their purchasing power, while travels abroad grew in double digits.

As to the reasons prompting Latin Americans to visit other countries, they vary depending on the travelers’ social status.

Middle-class people, for instance, wish to break free from rampant crime in the big cities. For others, making a trip overseas is a token of their social hierarchy.

The fact that many regional economies are growing fast, coupled with the granting of more credit lines for consumers, is also an element that cannot be ruled out.

Economies that are stepping out of the woods, like Brazil’s and Argentina’s, are once again extending credits to their consumers after a severe financial crisis that hit most of South America three years ago.

In Brazil, credit cards for consumers are climbing a whopping 28 percent this year, jumping from 47.5 million to 54.1 million.

In Chile and Mexico, two nations that have enjoyed relatively solid economic growths and have seen their banking systems strengthen, middle-class residents are having more access to new credit lines and loans.