Social Security In Latin America

This study reviews the findings of a number of background papers on social security in Latin America, sector work, and a series of three meetings of experts that explored the major issues facing social security institutions. In Latin America, social security institutes have been competently managed for the most part and have a proven record of successfully delivering social services to their members. The central theme of this report is the great, and largely untapped, potential of social security institutions to relieve poverty in Latin America. By taking advantage of the positive characteristics of these institutions and repairing at least some of the efficiency problems, countries could achieve an enhanced level of income security for the aged, better coverage of basic health services, and wider protection from economic disasters for the whole population. A wider revenue base would accommodate an increase in coverage of the population if combined with a prudently designed benefit package. There is ample evidence from countries in the region that have experimented with such reforms that they can be made, and that they are desirable and feasible on economic grounds. Political feasibility is more difficult to assess but can be enhanced by well informed, carefully designed reforms.