Latin American Economic Outlook 2025 Promoting and Financing Production Transformation

Since 2007, each edition of the annual Latin American Economic Outlook (LEO) analyses one of the challenges faced by the Latin American and Caribbean (LAC) region in its transition towards sustainable and inclusive development, comparing LAC’s performance with that of its peers, suggesting policy recommendations and providing examples for policy learning. This 18th LEO, Promoting and Financing Production Transformation, analyses the need to reshape the region’s production structure to become greener and more inclusive, while also examining the financing mechanisms necessary to support this shift. It provides policy recommendations for governments to realign production systems with global standards and demands while generating quality employment, developing local capabilities and promoting key strategic sectors. Finally, the report underscores the need for stronger international partnerships to accelerate the mobilisation of international resources into strategic sectors and foster capacity building, supporting the region’s shift towards resilient, knowledge-intensive production systems that underpin inclusive and sustainable development.