UN trims Latin America 2022 economic outlook as growth drivers weaken

SANTIAGO, Jan 12 (Reuters) - Latin America’s economy is expected to grow 2.1% in 2022, a United Nations body said on Wednesday, cutting its forecast from 2.9% previously amid weaker global demand and moderating commodities prices which had soared last year.

The United Nations Economic Commission for Latin America and the Caribbean (ECLAC) said in a report that the region’s economy likely grew a faster-than-expected 6.2% in 2021, hiking its estimate from a previous level of 5.9%.

Latin America, a diverse region spanning from Mexico to Brazil and Argentina in the south as well as the resource-rich Andean nations of Chile and Peru, is facing a new wave of COVID-19 while governments look to taper pandemic spending.

Many regional economies are heavily driven by commodities including grains such as soy, corn and wheat, meat exports and metals such as copper and iron. Many of those saw sharp price rises over the last year, boosting economic growth. (Reporting by Natalia Ramos; Writing by Adam Jourdan Editing by Nick Zieminski)