During the last three decades, Latam economies have gone through numerous upheavals. Most were badly hit at one point or another by problems of balance of payments and budget deficit, large external debt, currency and financial crisis, huge currency devaluation, a high level of inflation and at the same time a high level of unemployment. Three of the countries whose LA economies have been most severely affected by the problems of external debt are Argentina, Brazil and Mexico. IN all those countries, various liberalization, privatization and structural reform policies were adopted at different stages to stabilize the value of the countries’ currencies, reduce inflation and develop their financial system. Yet, in each case, despite the initial signs of improvements, the counties began to experience new problems and faced a different type of crisis. The present volume provides and evaluation of the moentary and foreign exchange policies that have been adopted in various Latam countries and their limitations.Thestudies in particular focus on Argentina, mexico and brazil and discuss the success and failure ramification for financial sector and external accounts. Give opinion on the following topics: the role of convertibility law in Argentina, disupute the view that the 2001 financialcrisis was caused by the overvaluation fo the peso. The effectiveness of international prudential regulation in preventing banking crises in Latam How monetary policies that are designed to attract capital inflows into smaoll open economies can create serious problems for the private sector. Inflation targeting in emerging countries that have been subject to structural inflation