More and more companies are turning to predictive analytics to optimize their processes, achieve better business results and increase their market share.
Organizations use internal predictive analytics to forecast trends, understand and predict customer behavior, improve performance and drive strategic decision making.
Fitch Ratings agreed to change the perspective of the region's banks from stable to negative, arguing that the current health crisis will affect financial institutions in all countries.
Considering the measures that countries have adopted in the last 15 days in economic matters, following the spread of covid-19, Fitch expects that there will be a decrease in the issuance of loans.
The governments of Costa Rica and Nicaragua will face greater challenges in obtaining financing in external markets, because of the lowering of their risk ratings by international agencies.
Arguing that Costa Rica reflects consistently large fiscal deficits, short-term financing needs because of a strong repayment schedule and budget financing constraints, Fitch Ratings reported on January 15 that the country's long-term foreign currency issuer default rating was downgraded from BB to B+.
Panama and Nicaragua are among the ten countries in Latin America with the highest risk of money laundering, according to the Basel Institute of Governance.
The anti-money laundering index (AML) prepared by the Basel Institute of Governance places Panama in fourth place in the list of countries with the highest risk of money laundering and financing of terrorist activities in Latin America and the Caribbean.
...and I will tell you who you are. In their quest to reduce exposure to risk, banking correspondents have started to restrict the services they provide to gambling companies, remittance companies, and brokerage firms that are not related to banking groups in the region.
In order to reduce risk exposure, some international banks with correspondents in Panama and other countries in the region are failing to open accounts for or provide services for companies whose income comes from activities such as remittances and gambling.The banks' argument is that they are more likely to be used for money laundering. Even non-banking brokerage firms claim to have difficulty offering their customers products and services,"... since banks wont open accounts in which customers can deposit their funds and receive a return on their investment."
For the last four years the loan portfolio of the Salvadoran financial system has been growing at an average rate of 3.5%, below the 11% growth average in the rest of the region.
A report produced by the rating agency Moody's notes that growth in El Salvador's financial sector has been stagnant since 2010, as the total loan portfolio has not achieved growth rates above 3.5% per year.
The globalization of supply chains, and outsourcing of services and production, exposes companies to new risks.
Humberto Breccia, from the ADEN Business School, discusses the processes that need to be implemented by companies so as to "minimize losses and maximize the value perceived by customers."
From the questions How to do it? Where to begin? How to control it?, comes the logic of the steps required to manage operational risk:
True entrepreneurs are like the pirates of the seventeenth century, for whom the possibility of making a fortune was the excuse for adventure.
The risks of the sea pirates were very high. The chances of drowning, hanging or pierced by a sword, were much higher than those of becoming rich. There is no doubt that living with 100 other pirates in a small boat should not be very comfortable, even for the captain.
A company whose assets are not insured is like a tight-rope walker without a net: any mistake could mean death.
There are three kinds of corporate insurance. While not all companies may benefit from all kinds of protection, they are likely to need at least one in order to cover all the risks to which they are exposed.
Insurance policies for companies include everything from coverage against workers' compensation claims to protection against executive kidnappings. With so many options available, businesses need to analyze their needs carefully and balance the cost of premiums relative to the cost of a given risk.