The banking sector in Uruguay is not typical of an emerging market. Although small in size and with limited bank penetration, its stability – a trait it shares with the country's political landscape – has for years attracted large volumes of deposits from beyond its borders, making Uruguay one of the world’s most liquid banking markets.
“Uruguay is a country where there is more liquidity than investment,” says Jose Manuel de la Cruz, country manager for BBVA Uruguay. “We’re probably one of the few countries in the world where there is no liquidity tension; banks have liquidity surpluses.”
