Inside this episode

Jaime Reusche and Gabriel Torres of the Sovereign team discuss our negative credit outlook on Latin American sovereigns. Although we expect the region to broadly return to GDP growth in 2021, economic revival will take time and pressure on governments to boost spending on social programs will build in the wake of the coronavirus crisis.

Related Content

• Moody's Emerging Markets Hub Bringing clarity to ever-shifting credit dynamics across emerging economies.
• Sovereigns – Latin America & Caribbean: 2021 outlook negative as social pressures rise amid subdued recovery from pandemic Subpar medium-term growth prospects and rising social pressures will challenge governments’ ability to restore lost fiscal space, pressuring creditworthiness in the region. As LatAm sovereigns emerge from the pandemic with higher debt and interest burdens, we expect fiscal strength to weaken.