The war in Iran is lifting the fortunes of oil producers in Latin America who aren’t vulnerable to the Strait of Hormuz closure.
Net energy exporters such as Argentina, Brazil, and Guyana stand to benefit from rising oil and gas prices, and a recent Goldman Sachs report suggesting that persistently higher prices could translate to regional economic growth.
Agricultural exporters including Argentina and Uruguay could be boosted as well as the price of foodstuffs increase globally, while investment in Latin America could further drive a hard currency windfall. However, energy importers like Chile and Mexico may see inflation tick up, which could fuel social unrest and force governments to expand subsidies.
