IDB: Central American economies expected to grow by 3.5 percent in 2014

Panama City, February 27 (AFP)- The economies of Central America will grow an average of 3.5 percent this year, half a point more than that estimated for Latin America and the Caribbean, according to the Inter-American Development Bank (IDB).

“The estimated economic growth for this year in Central America is 3.5 percent,” said Gina Montiel, manager for the IDB in the Dominican Republic and the region, who added that the estimate for Latin America is 3 percent.

Montiel offered the information during the 26th Central American and Dominican Republic Governors Meeting, which brings together finance ministers and other economic authorities from across the region.

The financial corporation believes that Central America and the Dominican Republic should make structural changes that allow it to improve competitivity while considering the drop in the price of basic goods that the region exports.

The IDB also recommended taking advantage of the improving U.S. economy, the principal market for Central American exports.

The continued recovery of developed economies, especially the United States, will push global growth from 2.4 percent in 2013 to 3.2 percent in 2014, according to the World Bank.

“The principal challenge for the region is taking advantage of the North American economy,” said IDB President Luis Alberto Moreno.