According to CEPAL, despite the progress made, income distribution must be improved in a context of economic growth

Alicia Bárcena, executive secretary for the Economy Commission for Latin America and the Caribbean (CEPAL) said that, in spite of the progresses made recently, Latin America and the Caribbean is the region with the worst income distribution in the world. In addition, there are multiple gaps in the development of capacities, as well as in the insertion to the labour market and the access to social security systems.

“It is necessary to reshape the export model of Latin America and the Caribbean. Opening is important but not sufficient. What may governments do? Pay more attention to investments and have a deliberate industrial policy that also considers natural resources governance”, pointed out Bárcena, during her participation in a meeting that took place in Paris, France, called “New strategies of cooperation for the development of the European Union in Latin America and the Caribbean”

Through a press statement, she emphasized the importance of integration to production chains, which have a very low level in Latin America and the Caribbean with an average 19% compared to the European Union which is 66%.

“In conclusion, we have five main messages: productivity, redistribution, urbanization, integration and sustainability. Economic growth and monetary poverty reduction are not enough. A multidimensional focus is required”, specified Bárcena.