Incoming Capital Diminishes by 78% in Guatemala

In the first quarter, incoming net private capital (loans and investments) was $149.7 million, compared to $699.3 million for the same period in 2008.

Monday, April 13, 2009

According to information published by the Bank of Guatemala, the area that reported the greatest reduction was loans, which diminished by 63.26%.

Lisardo Bolaños, analyst with the National Center for Economic Research (CIEN), reported to "The drop in foreign loans is due to the fact that correspondent banks no longer have the ability to maintain credit lines to national banks because of the problems caused by the financial crisis. In addition, uncertainty has caused investors to become more conservative in their decision-making."

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No agreement on minimum wages in Guatemala

December 2008

The National Center for Economic Investigation (CIEN) is opposed to an increase in minimum wages for 2009, just as the private sector has expressed, and has presented other long term alternatives.

In the presentation of the Minimum Wages Policy in Guatemala, the CIEN proposed other mechanisms so that workers can improve their income and has move away from the position that the productive sector has manifested for years.

Guatemala: State Money Capture Will Increase Rates

December 2013

Warnings are being issued of a possible rise in the cost of credit if the government finances its spending with bonds issued in the local market. reports: "If Congress authorizes for the next fiscal period the issuance of $1.282 billion in bonds to finance public spending, as the executive branch plans, credit to the private sector could be affected ... ".

Remittances Increase by 22% in Guatemala

April 2009

After two months showing a downward trend, remittances in March totaled $344.1 million, up 22% over the same period in 2008.

The first three months of this year showed a decrease of 5.9% in comparison to an increase of 9.8% during the same quarter last year relative to 2007.

Guatemala: 39% Less Public Investment in 2010

September 2009

Scheduled investment for 2010 sums $434 million, 39% less than the $714 million earmarked for 2009.

Under the current 2010 Budget draft, the Ministry of Communications and Public Works would receive the largest investment funds.

This budget aims to boost production in the country, through anti-cyclical policies that trigger economic recovery, insisted the Treasury Minister.

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