European expats continue to flock to Latin America
If the 2008 US mortgage crisis revealed anything, it was the problems in the European and US financial systems, many of which have yet to be fixed. In fact, just this week the Spanish government suggested that an improvement in the Spanish economy was a long way off and that 2013 will be even worse than 2012. As a consequence, the number of expatriates moving from Europe to Latin America continues to grow.
Financial incentives in Latin America
It’s not hard to see why expats from Europe are now looking to Latin America as a possible future home. The employment environment is much more dynamic than in Europe, inflation is under control and, despite the fact that economic growth has slowed in the last 12 months, it is expected that the countries of the region, with the exception of Argentina, grow in economic terms again this year.
This improvement in the Latin American economy has generated important employment opportunities within the infrastructure industry, since the governments of Brazil, Mexico, Colombia, etc. they seek to bring in foreign experts to improve transport networks and other public services. This will change the labor market in the future as public/private partnerships become the norm throughout Latin America.
Transportation networks in Latin America
If you ask any expat in Latin America about the transportation network, and perhaps more importantly, the road network, you are likely to experience a surge of frustration and anger. This is a problem across the continent and while governments seek to address it in the short, medium and long term, it has an impact on economic prosperity.
The fact is that recent research showed, for example, that agricultural products were much cheaper in the region, even though when they arrived in the US they were more expensive than their US counterparts simply because of transportation costs. This perfectly illustrates the fact that while the Latin American economy is performing admirably in very difficult and challenging times, there is certainly more room for infrastructure improvement.
Employment for expatriates
When you look at the infrastructure of Latin America, you’ll see that governments across the region have literally billions of dollars waiting to be invested in this particular area. Many of the region’s governments are awash in increased tax revenue due to the growing economy, falling welfare costs, and a sense of prosperity. We have already begun to see the influx of foreign workers with connections to the infrastructure sector with skilled and experienced workers becoming an increasingly valuable commodity.
Conclusion
If you sit back and look at the situation, comparing the economies of Latin America with those of Europe, it is not hard to see why the increasing influx of expatriates from Europe to the Americas continues. The short- and medium-term prospects within Latin America are much better than those associated with Europe at the moment. So it is unlikely that we will see a reduction, probably further growth, in the number of expats moving from Europe to new pastures like Brazil, Mexico, Colombia, etc.