GlobalSource Partners | Country Insights

The Tel Aviv Stock Exchange extended its gains today, following Sunday’s 5.1% surge, with the TA-90 Index rising a further 0.82%. The advance came as Israeli military operations in Iran continued to progress, while rocket fire from Iran appeared to subside. Investor sentiment was further lifted b...

Central Bank increases liquidity to stimulate the economy

DOMINICAN REPUBLIC · In Brief · 17 Jun 2025

Yesterday, the Monetary Board authorized the Central Bank to implement a liquidity provision program amounting to DOP 81 billion, aimed at promoting the revitalization of economic activity amid high global uncertainty, upward pressure on interest rates, and slower growth in credit to the private ...

Pressure on prices and the Bolívar

VENEZUELA · Report · 17 Jun 2025

We have revised down our exchange rate and inflation forecasts on the assumption that, starting in June 2025, the government will maintain a monthly increase of 9–11 percent in the official exchange rate in an effort to ease inflationary pressures. Nevertheless, the 2025–2026 outlook remains one ...

Carpe diem, President Noboa!

ECUADOR · Report · 17 Jun 2025

Depending on the source, Ecuador’s GDP growth for 2025 is placed between 1.5% and 1.8% (Central Bank), with an average of 1.7% (IMF). We lean towards the 1.5% y/y change that, albeit a significant recovery from the negative 2% of 2024, is still well below the vigorous economic dynamics the countr...

The House approved the urgent status of the legislative decree on the IOF, Congress is expected to analyze presidential vetoes, and the Copom meetings will begin today to decide on the benchmark interest rate

BRAZIL POLITICS · Report · 17 Jun 2025

As expected, the Lower House approved the urgent status for the legislative decree bill that overrides President Lula’s decree on the IOF tax. The margin was wide: 346 to 97. A session of the National Congress is scheduled for today. More than 60 presidential vetoes are pending review, some datin...

Another month of data shows little has changed

CHINA FINANCIAL · Report · 17 Jun 2025

Special points to highlight in this report: - China’s growth model remains structurally unbalanced, as the government continues to prioritize aggressive GDP targets without implementing the consumption-focused reforms needed for sustainable development. There was, however, some good news in M...

South Africa’s external position remains relatively sustainable

SOUTH AFRICA · Report · 17 Jun 2025

Data released by the South African Reserve Bank shows that, during the first quarter of 2025, the deficit of South Africa’s current account narrowed slightly, to R35.6 billion, down from R39.3 billion in the fourth quarter of 2024. As a percentage of GDP, the deficit held steady at 0.5% over both...

Economic growth looks strong in 5M25, and combined with elevated inflation support budget revenues

KAZAKHSTAN · In Brief · 17 Jun 2025

The Bureau of National Statistics reported that the short-term indicator (a monthly flash estimate of economic activity that covers six key segments of the economy) grew y-o-y by 8.6% in 5M25 (up from 8.5% in 4M25). The number appears high, not least due to a more moderate economic growth a year ...

The PSD's political chessboard and other weekly topics

BRAZIL POLITICS · Report · 16 Jun 2025

The Lower House may vote on an urgent status for the legislative decree that suspends the president’s decree on the IOF. Congress will hold a session to analyze presidential vetoes, during which the request to open a Joint Parliamentary Committee of Inquiry (CPMI) on the INSS may be read. In the ...

Higher for longer?

BRAZIL ECONOMICS · Report · 16 Jun 2025

The Monetary Policy Committee (Copom) communication signals that the interest rate will be kept at a high level as long as necessary to bring inflation to the target midpoint and re-anchor expectations. However, we believe it is unlikely that the Central Bank will maintain real interest rates clo...

May CPI surprised to the downside, but inflation remains near 3% – rate cut unlikely due to geopolitical risks

ISRAEL · In Brief · 16 Jun 2025

May CPI surprises with a 0.3% drop, driven by a sharp fall in prices for trips abroad May CPI in Israel surprised to the downside, falling 0.3% month-on-month, driven primarily by a sharp 15.5% drop in overseas travel prices. This brought the annual inflation rate down to 3.1%, from 3.6% in April...

Economics: Rising consumer inflation driven by PPI, combined with discordant monetary policy, make for a complex scenario

MEXICO · Report · 16 Jun 2025

Annual inflation in Mexico reached 4.42% in May 2025, with core inflation propelled to 4.06% by rising merchandise and services prices. At the same time, the non-core component increased 5.34% annually, driven especially by meat products (8.25%). Yet despite rising inflation, Banxico has lowered ...

Politics: Morena’s vote was way lower than expected in the Durango and Veracruz municipal elections

MEXICO · Report · 16 Jun 2025

On June 1, the country held its first judicial elections, along with municipal races in Durango and Veracruz. Normally these state elections would not spark much interest nationally. This time, however, the races and their results attracted attention as a possible bellwether to gauge Morena’s for...

The House should vote today on a legislative decree that revokes the President’s decree on the IOF, Congress is expected to discuss budget fund transfers, and presidential vetoes are scheduled to be analyzed tomorrow

BRAZIL POLITICS · Report · 16 Jun 2025

A vote is scheduled for today on the urgent status of a legislative decree bill that seeks to override the President’s decree increasing the Financial Transactions Tax (IOF). There is pressure from sectors of the Lower House not only for the urgent status of the bill but also for a vote on the bi...

Economy weakens, although currency is stable and exports are robust

DOMINICAN REPUBLIC · Report · 16 Jun 2025

Economic activity data for April confirmed earlier expectations. The robust 5.4% y/y growth recorded in March 2025 was not sustained in April, when economic activity grew by just 1.7% y/y. This slowdown is primarily driven by weakening domestic demand, in both public and private investment. In...