The Latin American banking industry has experienced huge growth over the past two decades. In an interview with The Banker’s Silvia Pavoni, BNY Mellon’s Head of Treasury Services for Latin America, Dino Sani discusses how well-equipped financial systems, expert knowledge on managing volatility and a strong regulatory framework has led to the growth of regional giants.
When speaking on how technology will shape competition in the future, Dino Sani said, “In the short-run, the biggest challenges are not the current economic situation or the Covid-19 and how it affects our countries. For financial institutions, new technology is the main challenge – they need to reinvent themselves to be in the market, otherwise the markets will reorganise and the technology might make it more difficult for the more traditional banks to compete”.
To listen to the full video, click here and scroll to the bottom of the web-page.
A recent Infrastructure Investor article assessing investment opportunities in Latin America featured S&P Global Ratings’ research into the development of Colombia’s road network. The rating agency believes that the 4G road network, which began development in 2013, has made “significant progress under the current administration”.
To read the full article, click here (please note that the article is behind a paywall)
S&P Global Ratings rated its first onshore wind project in 2003. Since then, the renewable energy sector has undergone tremendous expansion. In Latin America in particular, onshore wind power sources are playing an increasingly important role. Julyana Yokota, Director, considers the unique challenges and opportunities facing onshore wind power producers in the Latin American region.
To read the full article, please click here.
In a commentary article for BNamericas, Dino Sani, Head of Treasury Services Latin America, discusses how regulation technology – or “regtech” – can enhance regulatory processes in Latin American banking. He examines the challenges banks are facing due to heightened compliance demands, the growing interest in regtech across the industry, and how regtech tools such as AI and blockchain technology could help to decrease compliance costs and improve efficiency.
To read the full article, please click here (please note, this article lies behind a paywall).
Between 2006 and 2016, air traffic surged across Latin American nations; the average growth rate was triple the region’s GDP growth. This caused several airports in the region to reach maximum levels of capacity sooner than originally projected – and intensified calls for airport extension and upgrades.
In an article for InfraLatinAmerica, S&P Global Ratings director, Candela Macchi, argues that Latin American airports are still performing above expectations. She says: “Even in countries where we expect GDP growth to vary between 2% and 3% in the coming years, projects may initially see slightly lower air traffic performances than in the past five or ten years due to their restrained capacity. But, in the mid-to-long term, we expect their performances to improve, though their elasticity to growth (relative to GDP growth) may not be quite as high.”
To read the full article, please click here (subscription required).
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For Columbian magazine Coyuntura Pyme, Diego Ortellado, BNY Mellon Treasury Services’ Head of Sales and Relationship Management for South America, discusses how the global payments industry is being rapidly reshaped by a number of market forces and new developments.
Ortellado explains how developments such as financial technology or “fintech”, and an increasingly competitive market, are causing the transaction landscape to rapidly advance – creating new innovative solutions for clients. However, he adds that in order to leverage the array of new opportunities within global payments, banks should continue pursuing a more collaborative and client-focused strategy.
The full Spanish article can be read here (a subscription is required).
The exponential growth of fintech innovation in recent years has brought remarkable upgrades to Latin America’s financial services – most notably in the efficiency and ease of retail and domestic payments. But, despite this impressive progress, there is still a great deal to do when it comes to modernizing global transactions. Furthermore, owing to the emergence of new trade corridors to the Latin American market – particularly from Asia – meeting the demand for real-time cross-border corporate payments has become a greater priority than ever before for the region.
In Latin Finance, Dino Sani, Head of Sales & Relationship Management for Latin America, Treasury Services, BNY Mellon, discusses the importance of technological innovation and bank collaboration across the Latin American banking landscape. In particular, Sani examines the current and potential impact of initiatives such as SWIFT’s global payments initiative (gpi), ISO 20022, and blockchain. Sino emphasises that while these enterprising technologies are making waves in Latin America, it is through banks collaboration that they can reach their full potential and bring in a new era for finance in Latin America.
To read the article in full, please click here.
Joerg Motel has become the new Country CEO ASEAN and Head Corporates International, Singapore. Jochen Mueller has succeeded Motel as Head of FI Asia and Latin America, based in Frankfurt.
Joerg Motel most recently held the post of Head of FI Sales Asia – responsible for covering the Indian Subcontinent, Greater China, ASEAN and Korea. Having previously worked in Hong Kong and headed relationship management with financial institutions for LBBW (Landesbank Baden-Württemberg), Motel has been with Commerzbank since 2008.
Jochen Mueller brings more than 10 years of experience of covering financial institutions for international investment banks. Having joined Commerzbank in 2011, he was most recently Country Manager UK Corporates in the Corporates International division – based in Commerzbank’s London branch – a position he took up in 2013. Prior to this role he was Head of Commerzbank’s M&A in Group Development.
News of the release was covered in Treasury Management International, Trade and Forfaiting Review, Asian Banking and Finance, Latin Finance, The Asset, Reuters, International Financing Review, The Asian Banker, Global Trade Review and Global Capital
2016 marked the latest year in a long period of unusual stagnation for the otherwise resilient Chilean economy. In a feature for International Trade Magazine, Robert von Oldershausen, Senior Relationship Manager for FI Latin America at Commerzbank, explains what has held back growth, and suggests the steps the country might take to economic resurgence.
In the article, ‘Chile’s Road to Recovery’ von Oldershausen shows that Chile was traditionally one of Latin America’s strongest and fastest-growing economies, often boasting annual GDP growth rates of around 5%. In recent years, it has performed considerably below par, posting growth of only 1.9% in 2014, 2.3% in 2015, and an expected 1.8% last year. Other developed economies may be satisfied with such figures; for Chile, they are not up to scratch.
Weak global demand and low prices for the country’s copper have been the key culprits. The metal contributes half of Chile’s total exports, underpinning government revenues and foreign exchange supplies). Von Oldershausen argues that Chile would do well to continue the diversification of its economy – moving away from the extractive sector, developing a wider range of industries, and fostering deeper trade relations with its Latin American neighbours – in order to ensure future prosperity.
Read the article here (with a subscription).
Chile is one of Latin America’s most promising investment destinations, particularly when it comes to infrastructure discusses Mauricio Munguia, Santander’s Latin American Desk Head, as featured in the latest Infrastructure Intelligence magazine.
A key area of focus for Chile are public-private partnerships (PPP), a funding model involving the use of private finance to facilitate the provision and delivery of public services or infrastructure assets. For instance, the Costanera Norte project, comprised of a dual three lane highway, two tunnels, six new bridges and 30.4km of urban highway, requires an investment of US$1.98 billion.
Moreover, as PPP projects were initially developed in the UK, this provides the perfect opportunity for companies such as those with expertise in construction, design, procurement, operations and maintenance.
To read the full article, please click here.