Good times beckon for Latin American ties

In the span of 10 years, China has become one of the strongest forces of transformation Latin America and the Caribbean (LAC) have seen in over a century. Perhaps more important, China's presence has the potential to bring unprecedented prosperity to the region.

China's relationship with LAC these days is at a historic high. Nevertheless, if the excitement is not translated into smart policies, the disappointment can be as big as the opportunity. Let's take a look at the current state of affairs in three areas that could decide the success of this relationship: political economy, private sector cooperation and knowledge exchanges.

From a politico-economic perspective, China-LAC relations could not be better. The China-Community of Latin American and Caribbean States Cooperation Forum will certainly be revolutionary. Even though the forum is one of the few regional institutional dialogues, it does not include the United States and Canada, it does not mean that China's ties with the region are ideological. For example, in 2009 China joined the Inter-American Development Bank (IDB), an institution whose largest shareholder is the US and which will, from now on, coexist with the newly created BRICS development bank.