Fiscal Panorama of Latin America and the Caribbean 2023

Fiscal Policy for Growth, Redistribution and Productive Transformation
In 2022, the fiscal situation in Latin America and the Caribbean was characterized by rising tax revenues and declining in public spending, resulting in smaller fiscal deficits. Nevertheless, public debt remains high. Against this backdrop, this edition proposes a fiscal policy for growth, redistribution and productive transformation.
In 2022, the fiscal situation in Latin America and the Caribbean was characterized by rising tax revenues and declining in public spending, resulting in smaller fiscal deficits. Nevertheless, public debt remains high. Against this backdrop, this edition of the Fiscal Panorama of Latin America and the Caribbean proposes a fiscal policy for growth, redistribution and productive transformation. It examines options for strengthening personal income tax, to boost its revenues and redistributive potential. In a context of mounting pressure on public spending, it is vital to take strategic approach, to make spending more effective in closing social gaps. This report therefore proposes a new methodology for identifying, measuring and classifying public spending related to gender equality, Indigenous Peoples, Afrodescendants and persons with disabilities.

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