Costa Rica – Window for Fiscal Reform Closing Fast

President Luis Guillermo Solís’ already poor prospects for securing passage of a package of tax reforms aimed at staving off a medium-term debt crisis are dimming rapidly. With the next presidential and legislative elections scheduled for February 2018, political leaders who aspire to succeeding Read Entire Entry

El Salvador – Partisan Battles Add to Debt Risk

On April 10, the rating agency Fitch released a statement declaring the government of El Salvador to be in selective default on its debt obligations, owing to its failure to make a scheduled payment of $29 million to a local pension fund. Citing the missed payment, Fitch revised the long-term Read Entire Entry

Germany – Merkel Still in the Driver’s Seat

Chancellor Angela Merkel’s perceived mishandling of the European refugee crisis has left her vulnerable to a successful challenge for her job at a general election that will be held in September. Her only serious competition will come from Martin Schulz, a former president of the European Read Entire Entry

Mexico – Peña Nieto Has a Trump Problem

MOST LIKELY REGIMES AND THEIR PROBABILITIES 18-Month: PRI Coalition 60% Five-Year: *Divided Government 55% FORECASTS OF RISK TO INTERNATIONAL BUSINESS   Turmoil Financial Transfer Direct Investment Export Market 18-Month: High B+ A- B+ Five-Year: Moderate B- A- B ( ) Indicates change in rating. Read Entire Entry