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Antoinette Sayeh and Ralph Chami

The COVID-19 pandemic is crippling the economies of rich and poor countries alike. Yet for many low-income and fragile states, the economic shock will be magnified by the loss of remittances—money sent home by migrant and guest workers employed in foreign countries.

Dilip Ratha

This paper reviews the resurgence of Latin America. The paper highlights that much of the region has witnessed a swift and robust recovery from the successive financial crises of 2001–02. Within two years, the region’s economic growth reached 5.6 percent in 2004, a 24-year high. Growth rates of about 4 percent in 2005 and 3¾ percent projected for 2006 are well above historical averages. Mexico and South American countries have gained, in particular, from the surge in fuel, food, and metals prices, and have generally been able to exploit these opportunities by expanding production.

William J. Carrington and Detragiache Enrica

For the latest thinking about the international financial system, monetary policy, economic development, poverty reduction, and other critical issues, subscribe to Finance & Development (F&D). This lively quarterly magazine brings you in-depth analyses of these and other subjects by the IMF’s own staff as well as by prominent international experts. Articles are written for lay readers who want to enrich their understanding of the workings of the global economy and the policies and activities of the IMF.

Zafer Ecevit and K. C. Zachariah

This paper highlights that the 1978 World Bank Annual Meeting, held in Washington, D.C. during September 25–28, 1978, emphasized that greater efforts need to be made by both developed and developing countries, on domestic as well as international fronts, to stimulate lagging growth and to improve the well-being of the poorest. Just as developing countries agreed that economic takeoff was based as much on their own internal policies as on the external environment, the industrialized nations acknowledged that their own economic well-being was more closely linked to the growth of the Third World.