Via Frontier Strategy, an interesting look at how Colombia and Peru are becoming the next Latin American growth frontiers:

Buoyant consumer spending and robust FDI illustrate why MNCs are paying close attention to Colombia. In Peru, the appointment of a pro-business cabinet demonstrates that Humala’s government will emphasize growth and continuity. Meanwhile, questions about the political outlook in Chile, Argentina and Venezuela are on the minds of many investors as stories about protests, elections and an ailing caudillo fill the news:

?Argentina: Argentina’s mixture of unorthodox economic policies is increasingly unsustainable

?Brazil: The government cools the economy with monetary tightening and macro-prudential policies, but continues to spend heavily

?Chile:Protests, strikes, and cabinet changes interrupt a long period of good news for Chile, but pose little long-term threat to stability

?Colombia: Oil investment and surging exports are driving B2B demand, but B2C companies have reason to be equally optimistic

?Costa Rica: The export market gains from increased demand in the United States while the domestic economy benefits from a revival in tourism

?Dominican Republic: Short-term stability has deteriorated as protests and strikes over the rising cost of living become increasingly widespread

?Ecuador:President Rafael Correa continues to push his populist economic agenda, betting on Chinese oil purchases

?Mexico: Mexico’s recovery is shifting gears as sustained investment is starting to translate into higher wages and stronger consumer demand

?Panama:While a free trade agreement with the US is still on the horizon, inward investment and growth continue at a torrid pace

?Paraguay:Paraguay’s landlocked economy is at risk as Argentina and Brazil become increasingly unwilling to adhere to Mercosur trade terms

?Peru: The appointment of free-market champions in Humala’scabinet signals continuity and moderation in the new president’s administration

?Uruguay: The relative ease of doing business in Uruguay compared to its neighbors is increasing the country’s potential as a regional hub

?Venezuela: New price controls won’t cure the other cancer ailing Venezuela, as inflation will grow with public spending over the next six months