LatAm Weekly – July 29 / Aug 2

Peru – Early elections are most likely outcome On July 29th President Martin Vizcarra , in his annual address to congress, surprisingly announced that he would submit to congress a constitutional reform cutting sh ort the existing congressional and presidential terms . This would in effect trigger early elections, which if approved, would take place in April 2020 instead of 2021. Allegedly, Vice President Mercedes Araoz did not even know what President Vizcarra would announce. Mexico – Stimulus package: too little, too late In Mexico, the first of a six-year term is generally a difficult transition because the administration lacks an understanding and the know-how to execute government programs. Despite this, the start of AMLO’s term has been particularly challenging. Argentina - Macri is peaking at the right time The stars seem to be aligning for president Macri . The economy is finally rebounding due to strong growth in the agricultural sector. Additionally, inflation has been slowing for the past three months, while the ARS has been stable (due to Federal Reserve’s interest rate cut, the passage of the pension reform in Brazil which supports the BRL thus the ARS). All polls show that Macri’s popularity is recovering.