- 17 Mar, 23
Hernando de Soto 101: Unlock the Secrets of Development
Hernando de Soto is a renowned economist from Peru who is known for his work emphasising the importance of businesses and property rights in developing countries. If you are interested in learning more about his view of economics, keep reading this Zatrun.com article.
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Who is Hernando de Soto?
He is the current president of the Institute for Liberty and Democracy (ILD), a think tank based in Lima, Peru, which works to share his ideas on economic development in developing countries.
Hernando De Soto’s policy recommendations have been used in Peru and have been credited with helping the country become economically stable after the “Lost Decade” period of increased regulation and price controls. He has worked as a consultant for various Peruvian governments and served as a negotiator for the Peru-US Free Trade Agreement.
De Soto has had a significant impact on international politics, serving as the main contributor to the ten economic treatment directives (the Washington Consensus) set by the International Monetary Fund (IMF), the World Bank, and the US Treasury Department for countries in economic crisis. He has also influenced the creation of the North American Free Trade Agreement (NAFTA) and has been praised by notable figures such as George H.W. Bush, Milton Friedman, James Wolfensohn, and Javier Pérez de Cuéllar.
Hernando De Soto is recognized as a leading economist on the importance of property rights and economic development in developing countries. His ideas have been used to promote neoliberal policies and were a significant contribution to the Washington Consensus.
North American Free Trade Agreement (NAFTA)
When it was signed, de Soto supported the creation of the North American Free Trade Agreement (NAFTA). At the Annual Meeting of the Boards of Governors of the International Monetary Fund and the World Bank on September 27, 1989, US President George H.W. Bush adopted de Soto’s work as part of the US foreign policy towards the economies of developing countries and praised de Soto for promoting free trade.
Hernando de Soto and Blockchain
Hernando De Soto is also involved in the study of Blockchain technology. In 2015, he participated in the 1st Annual Blockchain Summit held at British billionaire Richard Branson’s private home on Necker Island in the Caribbean.
De Soto, along with former Wall Street Journal columnist Michael J. Casey and Economist editor Matthew Bishop, was one of three moderators. Advocates of Blockchain technology argue that the technology is well-suited to serve as a public ledger to help achieve de Soto’s goals of formalizing informal Indigenous property rights, such as those of Peruvian Indigenous peoples.
In 2015, de Soto presented a property application of Bitcoin to Sheikh Nahyan bin Mubarak Al Nahyan of the United Arab Emirates and Abu Dhabi financial officials at the second Blockchain Summit held in Abu Dhabi.