2. Department of Foreign Affairs and Trade

3. Regions’ GDPs Similar, LA Per Capita Income Higher

4. Australian Trade and FDI with East Asia Dominates Latin America, 2000

5. Can Latin American Trade Ever Challenge East Asian ? Distance Trade Agreements Commodity Exporters

6. Exports to Latin America Growing Faster than to East Asia, 1990-2000

8. Brazil Inflation beaten Deficit low FDI open, strong inflows Trade opening Privatisation succeeding Flexible exchange rate Growth increasing Contagion, power threats

10. NAFTA driving growth and reform Fundamentals good FDI open Growth high Infrastructure, banks weak US downturn a threat Mexico

12. Chile FDI and trade very open Sound macro policy Flexible labour markets High transparency Strong banking system Privatisation success Highest growth in LA

14. Argentina Inflation beaten FDI open Trade opening Rigid exchange rate Fiscal deficit problem 3 year recession Good long term prospects

15. Business Environment ? improving, Chile leads labour markets still rigid banking systems weak transparency still poor

16. Business Opportunities ? Commodities Niche manufactures Services, tourism, education Investment, mining, agribusiness