Peace and Stability in Uruguay

The second smallest country in South America, Uruguay is one of the most stable and prosperous countries in all of Latin America.

Montevideo, Uruguay. Gustavo. CC BY-NC-SA 2.0

South America’s Uruguay has been one of the most stable countries in the world for years. It’s the second smallest country in South America, and despite not having many natural resources, they have still had a lot of economic growth and prosperity. Uruguay has in general been a symbol of peace and social inclusion, despite its small population. Their social attitudes are extremely progressive and lenient, especially towards things like legalizing marijuana and same-sex relationships and marriages. Many countries in Latin America suffer from violence, corruption and oppression, but Uruguay has grown in its economic, political and social spheres. Their policies towards immigration are also relatively open, and the people tend to welcome foreigners who want to move to the country. They have the largest sized middle class, proportionally, within Latin America and have been called the “Switzerland of Latin America” due to their economy, size, and industrial, trade, and service sectors. Uruguay has one of the highest GDP per capita in the region, and the income distribution is very equal. The World Economic Forum claims Uruguay is the most equitable country in the world.

Uruguay’s main exports are agricultural products, such as corn, rice soybeans and wheat, as well as meat products, especially dairy. They love meat, especially beef, and their national dish is asado, which is literally just barbecued meat. Interestingly enough, pasta is another widely consumed  food due to the arrival of  Italian immigrants that came during the late 1800s and early 1900s. Though Uruguay’s pasta has Italian inspiration, Urguay has its own spin on a widely-loved cuisine.  In terms of beverages, yerba mate is one of their favorites, a tea-like drink that has become a respected cultural aspect for the people. There was a military regime in the 1970s that strongly discouraged public gatherings, and so people would get together to drink yerba mate and socialize. This tradition has carried on even today and people now love to gather, drink it, and talk.

Their tourism industry is another factor that has increased their economic growth. People love Montevideo, the capital, and say that it is has the highest quality of life out of all the cities in South America. Punta del Este is an extremely popular beach resort that doubles as a college town that also adds to their tourism industry. It helps that the country is relatively safe, ranking 32nd on the 2020 Peace Index, compared  to the United States’ 121st. Because of this, the country has had a solid 15 years of positive economic growth, and their poverty rate decreased by 22% from 1999-2019. In addition, their literacy rate is extremely high, the highest in all of Latin America, and both education and healthcare are  free and accessible to everyone.The government is very transparent, considered the least corrupt government in Latin America and the 23rd least corrupt government in the world. Their political stability in the Global Economy was rated as 1.05 in 2020 (the scale is from -2.5 – 2.5) and they have had an overall upward trend since 1996. The United States, in comparison, was rated -0.02 in 2020, with a major downward trend since 1996.

Shot of Montevideo. Gustavo. CC BY-NC-SA 2.0

Despite all this, Uruguay’s rise in prosperity hasn’t always been the most stable. The rate at which their poverty levels is decreasing also slowed down and stagnated a bit in the past few years, and, like most countries, Uruguay suffered from the pandemic. The poverty rate increased by 2.8% the first year of the pandemic, even through Uruguay’s preexisting social protection systems and the new measure they introduced in response to the virus. In 2021, however, the economy recovered a little and the poverty fell from 11.6% to 10.6%. 

The country as a whole, though, did not have to make many changes in order to adjust to virtual life. Since they place such a high value on education and technology, they were able to easily use online platforms, and their universal health care allowed them to take preventative measures at a lower cost than other countries. All this combined allowed Uruguay to slowly reopen their schools earlier and faster than other countries in the region. Like many countries in the world, their poverty rates, though low, are disproportionate in areas such as race, sex and religion , but they do have a strong commitment and desire to strengthen the country and create policies to overcome these factors.



Katherine Lim

Katherine is an undergraduate student at Vassar College studying English literature and Italian. She loves both reading and writing, and she hopes to pursue both in the future. With a passion for travel and nature, she wants to experience more of the world and everything it has to offer.