Open banking. Lessons, challenges and opportunities for Latin America

Open banking. Lessons, challenges and opportunities for Latin America

In the last two decades, Latin America and the Caribbean have achieved important achievements in terms of macroeconomic stability and many countries were able to capitalize on their surplus income from exports of natural resources in favor of social development, with noticeable gains in reduction of poverty. However, the region remains significantly challenged to achieve sustained and sustainable economic growth and to match the most developed nations. This became very evident with the crisis resulting from COVID19 containment measures that disproportionately affected the region and returned millions of people in the region to poverty.

One of the most important challenges is the persistent low productivity that affects all countries and all sectors. Suffice it to say that European microenterprises are on average more productive than medium-sized enterprises in Latin America. Therefore, it is necessary to redouble efforts to promote a sustained increase in factor productivity, through the adoption of public policies that improve the business environment and regulatory frameworks, promote the financial inclusion of individuals and companies, promote the modernization of infrastructure, favor the adoption of good practices by institutions and companies, among other aspects, in such a way as to achieve a better allocation of resources and an accurate impulse to productive innovation.

CAF has prioritized productivity as a central axis for action within its strategy to support shareholder countries, which is reflected in credit operations in favor of governments, private companies and financial institutions, as well as in technical assistance and knowledge generation.

In particular, with the series "Public Policies and Productive Transformation" we seek to disseminate good practices and successful policies in Latin America, with the purpose of making available to countries the best and most efficient strategies for productivity, inclusion, growth and development.

(Spanish):  Open banking. Lessons, challenges and opportunities for Latin America