The Research Department generates innovative ideas that support the strategic policy agenda of the IDB and its member countries to achieve inclusive and sustainable economic and social development in Latin America and the Caribbean. To maximize the impact of its research, we carry out activities that serve as inputs to bank departments, governments, the academic community and public opinion in the region.
We advise management on economic and development issues, conducts research and analysis on macro- and microeconomic trends, and oversees development of the IDB’s quantitative and analytical databases. It dons a team of researchers with excellent academic credentials, superior research and policymaking experience, and expertise in different areas.
- Latin America and the Caribbean enters 2026 amid a complex global environment marked by heightened geopolitical tensions, shifting trade policies, and persistently high global interest rates that limit external support for growth.
- The region has shown resilience, with steady growth, strong labor markets, contained inflation, and low sovereign risk premia reflecting strengthened policy frameworks.
- Significant challenges remain, including weak productivity growth, high public debt, and tight financing conditions.
- Digitalization, artificial intelligence, and rising demand for critical minerals offer the region new growth prospects in a shifting global economy.
- Latin America and the Caribbean have made progress in education and macroeconomic stability, yet growth remains slow and inequality high. A key reason is weak competition. Concentrated and fragmented markets limit innovation, productivity, and opportunities.
- High market concentration, regulatory barriers, and weak enforcement of rules stifle innovation and limit opportunities.
- This book presents new evidence showing that greater competition can foster development by lowering prices, increasing productivity, creating better jobs, and strengthening public finances.
- A quiet revolution is reshaping payment systems across Latin America and the Caribbean, driven by private sector innovation and enabled by forward-looking public policies.
- There’s no universal blueprint for a successful transition from cash to digital payments—each country’s journey is unique, yet valuable lessons can be shared across borders to accelerate progress.
- The next frontier lies in harnessing digital payments for broader financial inclusion, while carefully designing policies that account for the incentives created by high levels of informality.
