As one of the world’s largest multilateral development agencies, present in over 170 countries and territories, UNDP is on the frontlines of anticipating, understanding and acting on today’s opportunities and risks.
The COVID-19 pandemic has made evident the unfulfilled promise of social protection in Latin America and the Caribbean (LAC). Governments in LAC have used cash transfer programs (CTPs) to cushion the social and economic effects of the pandemic. In this document we describe how these programs have served as a vehicle to reach vulnerable populations.
In this paper we argue that debt sustainability was not a problem in the region coming into the crisis and, more surprisingly, will not be an issue when coming out of it, a result that is consistent with the fact that markets have remained mostly open.