Governments in Latin America must do more to combat poverty, even as their economies boom on the back of surging commodities markets, the Organization for Economic Cooperation and Development (OECD) said on Wednesday.
According to The World Bank Press Review, it said economic growth and democratic stability were now the norm rather than the exception in the region, but that governments need to boost social spending and maintain citizens’ trust in government.
Fairer tax systems, including the abolition of some exemptions, as well as more efficient public spending would be key, the report said.
– Countries in Latin America have a very high degree of inequality and the OECD is in a position to help, to contribute by highlighting best practices, OECD Secretary General Angel Gurria told reporters during the presentation.
Efficient fiscal policy, according to the OECD report, will fortify ‘democratic governance’ in the region.
GODE MULIGHEDER FORUDE
The rapid development of telecommunications, a sector that has already received heavy international investment, will likely raise the productivity and living standards of many people in the region, the OECD said.
It said trade with Asian nations, mainly China and India, should be seen as a ‘bonanza’ and not as a ‘competitive threat for the region as a whole.
Kilde: www.worldbank.org
