In Latin America global power shifts are marked by a sharp reduction in the relative presence and influence of the United States, the increased presence of new global actors, particularly from Asia, and the emergence of Brazil as a potential global and regional power. The region remains politically fragmented. The foundation of CELAC in December 2011 is an attempt to overcome this fragmentation and strengthen the region’s voice. Economically the region has seen sustained economic growth largely due to Chinese and other Asian demand for commodities from the region. The policy challenge is to manage this boom in such a way that it turns out to be a blessing rather than a curse for long-term development.