Corruption hampers LatAm's economic growth

Rampant corruption in Latin America is preventing the region's economic growth, the chief economist at the Development Bank of Latin America, Gustavo Fajardo, said on Thursday.

Corruption "reduces the capacity of governments to provide their citizens with quality goods and services," the official of the Caracas-based bank said.

"Growth and productivity are also affected," with corruption shaving nearly 2 percent from the region's gross domestic product (GDP), Fajardo said during the presentation in Lima of the bank's 2019 Economic and Development Report.

"Corruption can manifest itself in many ways," said Fajardo, warning of "policy decisions that can be skewed to benefit special interests."