Fiscal panorama of Latin America and the Caribbean 2021

fiscal policy challenges for transformative recovery post-COVID-19
In 2021, Latin America and the Caribbean faces an economic and social context that will remain complex and uncertain, particularly with COVID-19 pandemic continuing to impact the region. This report analyses the challenges for fiscal policy in the region as it continues to tackle the emergency and bring about a transformative post-pandemic recovery.
In 2021, Latin America and the Caribbean faces an economic and social context that will remain complex and uncertain. The coronavirus disease (COVID-19) pandemic continues to impact the region, with a fresh wave of cases that has led to the implementation of new public health measures to curb the spread of the virus. Vaccination campaigns, which are a priority, have been hampered by unequal access to vaccines globally and challenges in vaccine production and distribution. In this complex and uncertain context, the Fiscal Panorama of Latin America and the Caribbean, 2021 analyses the challenges for fiscal policy in the region as it continues to tackle the emergency and bring about a transformative post-pandemic recovery. Maintaining an expansionary fiscal policy will be key, and will require the support of international cooperation through development financing. The report also reflects on the need to promote tax policies that expand fiscal space, improve income distribution and maintain the sustainability of spending trajectories. Lastly, it examines progress in the mainstreaming of a gender perspective in fiscal policies in the region

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