2014 Latin America & Caribbean: “ Stratégic Oportunnity”
J Arturo Paniagua H
China and Asia: presence Latin America
Elaboro: J Arturo Paniagua H
REAL ESTATE INVESTMENT CONSULTING
Dragon Mart CancĂşn, the second largest area of exhibition and sale of Chinese goods outside China, after Dragon Mart Dubai, will begin operating by November 2012.
Developed by Chinamex, Dragon Mart CancĂşn will be opened with an initial investment of 150 million usd. It will be located on the Cancun-Playa del Carmen highway, near Puerto Morelos, 15 minutes from Cancun airport.
Was selected over other cities like Miami, Panama, Sao Paulo and Caracas, mainly to the following: 1.-Air connectivity. Direct access of potential buyers through commercial flights or charter type with all countries and cities covered (Mexico, USA, Canada, Central and South America). 2.-World class infrastructure. International Airport, 82.000 quarts of hotel, tourist attractions, service quality and local suppliers. 3.-City with population multicultural highlight being his great positioning as a brand in the world, and that the English language is commonly used by a large number of its residents and visitors. 4.-Quintana Roo is a safe state for investment and its residents being of its main strengths in public policy clarity, certainty in land tenure and public safety. 5.-Geographical location, regional Cancun in the Mexican Caribbean and Mexico globally for the North-South and East-West
The project, of 840,000 square meters (more than 9 million squarefeet), includes a housing complex of 4,000 homes and will employ more than 5,000 people.
Mexico. • Consolidate to Cancun as an international business center that competes with Las Vegas, Miami, Panama and Sao Paulo • Create new business opportunities with China and other countries to produce or distribute products Latin America. • Purchase goods or services on better terms (quality assurance, logistics costs, financing, price) • Encourage regional trade, expecting large presence of exhibitors and buyers from Central and South America
Chinese loans to Latin America are growing larger and faster than those of their Western counterparts Our best estimate of Chinese loan agreements to Latin America since 2005 is $ 75 billion (Table 1). CDB awarded 81% of the loans, while the Ex-Im Bank of China and ICBC contributed 10% and 6%, respectively. The loans were quite large and were heavily concentrated among a few borrowers. The governments of Argentina, Brazil, Ecuador and Venezuela received 93% of the total. Sixty-nine percent (69%) of total loans were loans for oil. Even with natural resources and other production characteristics that are of interest to China, the governments of Chile, Colombia, Peru and Mexico received little or no funding. A comparison of our estimate of USD 86 billion with previous estimates of the total Chinese financing suggests that Latin America represents a large proportion of Chinese funding abroad. The Financial Times estimated total lending Chinese during 2009 and 2010 in USD 110 billion more than half of these loans of 2009 and 2010 ALC.
REAL ESTATE INVESTMENT CONSULTING
China has recently begun to provide funding to Latin America, however, between 2005-2010 and paid more than the WB, IDB and U.S. Ex-Im Bank together (Table 2). Before 2008 China's annual lending ex never gave one billion dollars. But in 2008 loans soared to USD 6 billion. In 2009 loans tripled again to USD 18 billion, surpassing the U.S. $ 14 billion USD WB and IDB 15 billion. In 2010 the loans once again doubled to USD 37 billion, well above the nives them WB loan (USD 14 billion) and IDB (USD 12 billion). China overtook the WB and the IDB despite the fact that, from 2006 to 2010, both banks have doubled their lending to the region. Since 2005, Ex-Im Bank of China has funded nearly four times more than the U.S. Ex-Im Bank (USD 8,300 million to USD 2,200 million).
REAL ESTATE INVESTMENT CONSULTING
Chinese and Western banks barely overlap when it comes to their borrowers. Only Argentina and Brazil have received significant proportions of both loans. In both cases, the vast majority of Chinese funds came into one loan.
.
In the case of Brazil, 85% of loans are a loan of USD 10 billion approved in 2009 to finance an ambitious offshore oil project using Chinese inputs. In Argentina, all funding for 2010 came in a single loan: USD 10 billion to buy Chinese trains.
REAL ESTATE INVESTMENT CONSULTING
To Ecuador and Venezuela, the large influx of Chinese loans has served as a key source of external financing. The WB has not had nearly lending presence in these countries, since 2005, has awarded two small loans to Ecuador and Venezuela none. IDB loans to these countries, both in absolute and relative terms, were higher in 2009 and 2010 than they were between 2006 and 2008. The increase in loans in 2009 and 2010 is significant because Chinese loans in the same period exploded from zero to an amount 20 times the IDB loan.
Chinese banks lend money for purposes other than their counterparts in the IFIs and Western institutions. Chinese loans focus on infrastructure and heavy industry, while Western loans cover a range of governmental purposes, social and environmental.
Chinese banks channeled 87% of its loans to the energy, mining, infrastructure, transport and construction (EMITC). Only 29% of IDB loans and 34% of the BM will EMITC sectors. In turn, the IDB and the WB run more than one third of their loans to the sectors of health, social and environmental, without Chinese investment. According to Chinese banks themselves, they give more loans to EMITC because they look directly support economic growth rather than welfare. The website Ex-Im Bank of China says its projects must "to generate foreign exchange earnings and create jobs in the borrowing country. [Loans] focus on supporting infrastructure projects such as energy, transport, telecommunications and high-efficiency sectors such as manufacturing industry, agricultural processing and the borrower "
Asia Pacific: Agreements, Treaties and Projects Latin America
REAL ESTATE INVESTMENT CONSULTING
REAL ESTATE INVESTMENT CONSULTING
REAL ESTATE INVESTMENT CONSULTING
REAL ESTATE INVESTMENT CONSULTING
REAL ESTATE INVESTMENT CONSULTING
REAL ESTATE INVESTMENT CONSULTING
WHAT IS THE PROJECT MESOAMERICA? • dialogue and coordination mechanism that coordinates efforts of cooperation, development and integration among the countries of Mesoamerica. • Facilitates the design, management, financing and implementation of projects and activities of regional interest and of strategic importance, with concrete results.
SCOPE 10 countries in the northern region of Latin America: Belize, Colombia, Costa Rica, El Salvador, Guatemala, Honduras, Mexico, Nicaragua, Panama and Dominican Republic • privileged geographical location • Similar international specialization • 212 million people • from 3.65 million km2 • 2010 estimated regional GDP: U.S. $ 1.406 MDD
REAL ESTATE INVESTMENT CONSULTING
REAL ESTATE INVESTMENT CONSULTING
STRATEGIC
PARTNERS
Today we are facing an opportunity. Consolidation in the region a new level of development, to ensure the entire region's population live in dignity, should be our firm commitment to future generations ..
Trends 2013: Statistics Latin America
REAL ESTATE INVESTMENT CONSULTING
REAL ESTATE INVESTMENT CONSULTING
REAL ESTATE INVESTMENT CONSULTING
REAL ESTATE INVESTMENT CONSULTING
REAL ESTATE INVESTMENT CONSULTING
REAL ESTATE INVESTMENT CONSULTING
2015-2025 More a Trend‌ Is a Commercial Reality.
Latin America & Caribbean: “ Stratégic Opportunity”
www.rikerworld.com