Technological innovations can provide substantial benefits to payment system efficiency and security in the long run, but they often introduce new, unanticipated risks. For example, although payments cards reduced the impact of a stolen wallet, they’ve also introduced new risks, like counterfeit card fraud. It is important that we identify and address the unanticipated risks that inevitably result when we try new things.
As reflected by historically high and sustained economic growth and inflation rate differentials compared to developed economies at record-low, emerging markets are, in general, reasonably well-suited to face the current crisis. Latin America in particular is, for the first time in decades, managed under stronger macroeconomic principles. Most of the economies are experiencing sustained growth, underpinned by a buoyant domestic demand.