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"Colombia and Peru: The Latin American "new tigers"

Until recently, most investors seeking to inject money into Latin America had relatively
simple options, Brazil, Mexico or perhaps Chile.

That has changed. A new group of countries in the region are emerging as a viable alternative. Characterized by young population, growing middle class, a relatively low debt and a dynamic economic expansion, these countries are prepared to keep a larger share of the growth in the region and attract more money from international investors.

Colombia and Peru stand out among these Latin American "new tigers" due to a rapid and constant growth. Their currencies are solid and stable, they have managed to control inflation, their credit ratings are higher than those of neighboring countries and Governments have shown their willingness to act when the environment deteriorates.

"So far we have done well, surprisingly well," said Juan Jose Echavarria, co-director Banco de la República, the central bank of Colombia.

Source: wsj.com

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