Latin America and the IMF

A strong multilateral system is crucial for advancing the region’s economic prosperity At the Bretton Woods Conference, 19 out of 44 delegations came from Latin America and the Caribbean. By the time the IMF started operations in 1947, an overwhelming majority of Latin American countries-representing more than 40 percent of the Fund’s initial membership-had signed its Articles of Agreement. This underscores both Latin America’s commitment to a post–World War II system geared toward growth and stability as well as the region’s essential role in making it happen. Eighty years on, progress in some areas of the world economy has been far greater than the IMF’s founding members could have dreamed. In others, however, progress has been disappointing. This is true for Latin America, too. On one hand, Latin Americans overall value the benefits associated with the rules-based international system. Vibrant civil societies and innovative entrepreneurial spirit thrive in many corners of the region. Inflation and fiscal profligacy-for decades the scourge of the region-have been dramatically tamed in all but a handful of cases.