Hispanoamerica: a unique window of opportunity for the next decade

Hispanoamerica:
a unique window
of opportunity for
the next decade
World business is shifting to Emerging Markets:
Population
380,078,935
Oil barrels per day
Average Population Age
7,915,500
28.7
Value of oil production
by 2016
Unemployment
6.7%
170 USD billion
Illiteracy Rate
5.5%
Value of mining
production by 2016
110 USD billion
Value of financial and
business services gross
output by 2016
300 USD billion
GDP 2019
4,328
USD billion
Capital investment
in infrastructure
562.3 USD billion
Bilateral trade
1,225
USD billion
GDP 2013
3,454
USD billion
lli o
i
b
D
+874.51 US
7%
6%
8.0%
China
7.3
Global Real GDP by Group
2011 vs. 2016 (US$ in trillions)
5%
4%
7.6%
India
1.8
3%
3.9%
Brazil
2.5
2%
1%
0%
4.7%
Hispanoamerica
1.9
2011-16 GDP CAGR
Country
2011 GDP
4.0%
Mexico
1.2
4.1%
Turkey
0.8
3.7%
Russia
1.9
6.1%
Indonesia
0.8
3.7%
Poland 3,7%
3.7%
5.8%
0.5
S. Africa Nigeria
Argentina 3.5%
0.4
0.4
UAE
0.2
0.3
4.0%
Saudi Arabia
0.6
2.1%
Czech Rep. 5.3%
0.2
Kenya
0.0
n
Hispanoamerica is a unique window of opportunity for the next decade
The economic and business importance of Hispanoamerica & PwC response
Very few people know the size and economic potential of our
region. Hispanoamerica, which means Latin America without
Brazil, represents one of the biggest population bonus in the world
and a very important internal market, with enough purchasing
power if you know how to access the base of the pyramid
extraordinary work force and cheap labor notes. The region shares
the same language, social structures and a passion for soccer.
Hispanoamerica is the second most important producer
of oil & copper in the world.
During the past years Foreign Direct Investment (FDI) surpassed
US$ 231 billion and is expected to grow over 3 times in the next 3
years. While the international investment has decreased and even
Brazil's participation reduced by 3.9%, Hispanoamerica grew over
7% from previous year and expects to top FDI over US$ 560 billion
accumulated in the next 3 years.
We are a very globalized region: Mexico has over 12 bilateral trade
agreements, comprising over 40 countries and most of the countries
in the region have free trade agreements among themselves. The
newly constituted Pacific Alliance, created by the governments of
Mexico, Colombia, Peru and Chile, is working through its business
councils, comprised of their national business associations, to create
a friendly business zone, simplifying and homologizing trade,
immigration, health system, stock exchange and tax rules to
maximize opportunities in NAFTA and Asia Pacific.
At the same time we are a region with need of huge investments: in
infrastructure, government budgets are over US$460 billion; in our
national state owned oil companies; in our financial sector and, very
important socially, in our health systems.
In the past 5 years reforms have taken place and are
taking place to allow private and even foreign investments
to complement the state investment in the Oil and Gas
state owned companies, without privatizing them.
Telecommunications have spread powerfully covering most of the
population, leapfrogging over to 4G with very innovative
commercial schemes, allowing the base of the pyramid to
participate in the market. With two very powerful regional players
(Telefónica de España and America Movil (Claro/Mexico)), the
opportunities to interconnect, support modern business
technologies and develop front end top of the line services are
possible.
We foresee to grow our GDP by more than a US$ billion
in 3 years and bring it over US$ 4.5 trillion, which
makes us, without doubt, a very important window
of opportunity for the next decade.
These are the basic reasons why PwC invested in Centers of
Excellence, offering regionally innovative Strategy, Management &
Technology consulting service focused on the main industries:
• Financial Services
• Capital Projects & Infrastructure
• Mining
• Energy, Oil & Gas
• Healthcare
• Telecommunication
• Agribusiness
The PwC initiative guarantees the direct interest
and commitment of all our talent with the region.
Finally, capitalizing on our unique size and regional coverage, with
the direct support of our shareholders, we are the best channel to
help foreign, inter-regional and national companies in their market
entry efforts, from target screening, M&A activities, all the way to
Corporate Financing services. Together with Strategy& (ex Booz
Co.) we can advise companies from strategy to execution.
We are a channel to access the very wide and powerful
knowledge centers of PwC around the world, from strategy,
risk analysis, big data, shared services centers (SSC), IT
innovation, to finance function effectiveness, customer
centric strategies, and corporate governance issues.
Hispanoamerica is without doubt a unique window
of opportunity for the next decade, and PwC
Hispanoamerica Advisory Services is the channel.
Core Team
Juan Manuel Ferrón
Lead Partner
[email protected]
Robert L. Lattimore
CFO/COO
[email protected]
Ignacio Fernandez
Business Development Partner
[email protected]
Nathaly Nuñez Suarez
Energy, Oil & Gas
Health
Raúl Garay
José Alarcón
[email protected]
[email protected]
Center of Excellence Leader
Mexico City, Mexico
Center of Excellence Leader
Mexico City, Mexico
Carlos Augusto Morales
Verónica Sosa
[email protected]
[email protected]
Mexico City, Mexico
Mexico City, Mexico
Francisco Rivera Castro
Mexico City, Mexico
[email protected]
Clients & Markets
[email protected]
Financial Sector
Mining
Infrastructure
José Luis López Rodríguez
Jim Moraga
Germán Millán
[email protected]
[email protected]
[email protected]
Center of Excellence Leader
Mexico City, Mexico
Center of Excellence Leader
Lima, Peru
Infrastructure Leader
Santiago, Chile
Gonzalo Carrasco Fernandez
José Almodovar
Stephen P. Lechner
[email protected]
[email protected]
[email protected]
Buenos Aires, Argentina
Mexico City, Mexico
Infrastructure Coach Leader
José Félix Etchegoyen
Alfredo J. Remy Linares
Jorge Seré Parteli
[email protected]
[email protected]
[email protected]
Miami, USA
Lima, Peru
Elena Mayer
Jorge A. de los Reyes
[email protected]
[email protected]
Toronto, Canada
Management & Risk Consulting
Roland Gedeon
Center of Excellence Leader
Atlanta, USA
[email protected]
Matt Field
Lima, Peru
Montevideo, Uruguay
Technology Consulting
Bogota, Colombia
Telecommunications
Juan C Gutierrez
Juan Manuel Ferrón
[email protected]
[email protected]
Center of Excellence Leader
Center of Excellence Leader
Javier Barguño
Mario García Canfrán
[email protected]
[email protected]
Bogota, Colombia
Madrid, Spain
matt.fi[email protected]
© 2015 PricewaterhouseCoopers, S.C. All rights reserved. PwC refers to the Mexico member firm, and may sometimes refer to the PwC network.
Each member firm is a separate legal entity. Please see www.pwc.com/mx for further details. Elaborated by MPC: 20150923-am-foll-hispanic-america