The Economic Commission for Latin America and the Caribbean (ECLAC) has warned that average oil prices will remain higher in 2026 compared to the previous year, creating sustained pressure on regional economies.
The UN agency identified six distinct channels through which elevated energy costs are impacting the region, ranging from trade balances to inflation dynamics.
The warning arrives as crude oil prices continue to climb amid intensifying geopolitical tensions in the Gulf region.
Renewed hawkish rhetoric from US President Donald Trump has triggered a repricing of risk in energy markets, keeping benchmarks well off recent lows.
The International Energy Agency (IEA) has also cautioned that an escalation of hostilities between the United States and Iran could upend its forecast for a significant global oil market surplus in 2027.
For Latin American economies, which are often net importers of refined products, the higher price environment complicates fiscal planning and monetary policy.