December 20, 2006

Abstract: (ARGM) - Very few Latin Americans qualify their own country's finances in a positive way, according to the 18-country Latinobarómetro released by The Economist. Only 18 per cent of all respondents in every nation surveyed rate their economy as good or very good, but 31 per cent believe the situation is at least slightly better than last year.

(ARGM) - Very few Latin Americans qualify their own country's finances in a positive way, according to the 18-country Latinobarómetro released by The Economist. Only 18 per cent of all respondents in every nation surveyed rate their economy as good or very good, but 31 per cent believe the situation is at least slightly better than last year.

Central American nations are among the worst rated. Only six per cent of respondents in Nicaragua have a good view of the country's current economic situation, as well as eight per cent of those in El Salvador, 12 per cent in Guatemala, 14 per cent in Costa Rica and 17 per cent in the Dominican Republic, Honduras and Panama.

Less than 20 per cent of respondents in Costa Rica, Ecuador, Nicaragua, Paraguay and El Salvador think the situation has improved since 2005. Conversely, 43 per cent of those surveyed in Venezuela hold the current economic situation in a positive light, and 59 per cent think of it as better than last year's. 58 per cent of Argentinean respondents also believe their country was better off in 2006 than in 2005.

On Mar. 1, El Salvador became the first Central American country to fully implement the Dominican Republic - Central American Free Trade Agreement (DR-CAFTA), a pact between the region and the United States. Honduras and Nicaragua followed suit on Apr. 1, and Guatemala on Jul. 1. Costa Rican legislators have not ratified the treaty, and the Dominican Republic has yet to implement it.

Polling Data

How would you generally qualify the country's current economic situation?
("Good" and "very good" responses only)

Latin America	18%
Venezuela	43%
Argentina	34%
Brazil	28%
Chile	26%
Mexico	20%
Panama	17%
Honduras	17%
Uruguay	17%
Dominican Republic	17%
Ecuador	14%
Costa Rica	14%
Colombia	13%
Bolivia	13%
Guatemala	12%
El Salvador	8%
Peru	7%
Paraguay	7%
Nicaragua	6%

Do you consider the country's current economic situation to be much better, slightly better, the same, slightly worse, or much worse than twelve months ago?
("Slightly better" and "much better" responses only)

Latin America	31%
Venezuela	59%
Argentina	58%
Brazil	50%
Uruguay	40%
Dominican Republic	37%
Colombia	34%
Bolivia	31%
Chile	31%
Mexico	30%
Honduras	25%
Panama	24%
Peru	23%
Guatemala	21%
Costa Rica	19%
Ecuador	18%
Nicaragua	16%
Paraguay	15%
El Salvador	12%

Source: Corporación Latinobarómetro / The Economist
Methodology: Face-to-face interviews with 20,234 adults in 18 countries, conducted from Oct. 3 to Nov. 5, 2006. Margin of error for each country is 3 per cent.