MERCOSUR Report No. 13 (2007-2008)

In spite of the international context affected by the financial and credit crisis triggered in the US mortgage market, integration of the Southern Common Market (MERCOSUR) has continued to move forward, mainly in the internal agenda, where member countries reached certain agreements. In the period covered in this report (June 2007 to June 2008), trade volumes grew in an expanding context for the bloc¿s economies. On the external front, the negotiating dynamic has seen less tangible results. The worsening of the international financial crisis in the last quarter of 2008 creates an adverse context for the bloc¿s economies in the coming year. This scenario contemplates a downturn in world growth and a contraction of the main consumer markets, such as the United States, the European Union, and Japan. Below are the main conclusions of this 2007-2008 MERCOSUR Report.