Latin American International Financial Exchange

[Dolores]

What is your opinion of the Independent Financial Centre of the Americas and its Latin American International Financial Exchange to be built in Guayacanes, Dominican Republic.

See http://www.ifcamericas.com

Would you think what they propose is doable? What will be their greatest challenges? Has the time come for an entity such as they propose -- a central platform to clear and settle locally denominated trading in Latin America?

[deelt]

Hi Dolores,

BTW Great questions to spur the DOWS thread.

The building of the IFC is brilliant! It's strategically brilliant and can increase DR's profile among the LA heavy hitters while taking advantage of its political and geographic location.

Is it doable? Doable yes, but difficult to achieve.

Greatest Challenges? Race, class, perception and above all power. I think if done correctly it will have a paradigm shift effect in LA's power dynamics. Why? Because it's about location, location, location. The sheer factor that the IMF and the World Bank are a minute walk from the Embassy of Mexico and the White House does not escape the people in the "know". Placing the IFC in DR and for it to truly fulfill its mission would require the buy-in of premier economic thinkers by having them join the institution. Also econ think tank producers like Mexico, Chile, and Brazil are not about to relinquish their coveted positions so easily.

The idea does sound sexy though. Thanks for bringing it up!

Originally Posted by Dolores

What is your opinion of the Independent Financial Centre of the Americas and its Latin American International Financial Exchange to be built in Guayacanes, Dominican Republic.

See http://www.ifcamericas.com

Would you think what they propose is doable? What will be their greatest challenges? Has the time come for an entity such as they propose -- a central platform to clear and settle locally denominated trading in Latin America?

[aegap]

I'd say Bermuda would be IFCA's most direct competitor, ..

[Market Economy]

Creating this center in DR in the opinion of many experts is like setting a Free Trade Zone for financial services (which other Caribbean Islands and Central American Countries have done). The question I guess is one of differentiation between what besides financial services can IFCA offer that others would have a tough time competing with. Technology is very portable so I guess that would not be their selling point. I guess as time progressess IFCA leaders will give more and more details about the project.

Note: This is my personal opinion, an should not constitute investment advice. E-mail me at my personal address if you want to develop a dialogue.