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Central America Finance & Investment

Inside this issue
• The growth of small-scale credit raises enthusiasm and concern
• Hugo Chávez turns up the heat with concessionary energy deals
• The region is again swinging politically towards the left - -
Content
Battered from all sides by a perfect economic storm
Inflation and a US downturn are set to hit the region hard – although it is better prepared than before, says Adam Thomson
Banking: Micro-finance offers fresh opportunities
Excitement at access to funds is combined with fears about the rapid pace of credit growth, says Benedict Mander
Pragmatic alliances determine loyalties
Adam Thomson assesses efforts to court influence in the region
Cafta: Trade deal has hidden qualities
Adam Thomson assesses whether the much-hailed agreement has lived up to its promises
Energy: Prodigal Chávez turns up the heat
Benedict Mander reports on how a benefactor’s largesse does not address long-term problems
Security: Gang violence a deterrent to businesses
Weak and corrupt institutions are unable to cope, writes Adam Thomson
Property: Nicaragua becomes the new Costa Rica
Foreigners seeking cheap land are looking beyond a traditional market, Benedict Mander reports
Taking on China
Proximity to the US has allowed the region’s manufacturers to defy competition from an emerging powerhouse, reports Adam Thomson
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