The Latin America and Caribbean region faces three major structural traps or challenges that hinder its development: low growth capacity, high inequality and limited social mobility, and institutional weakness accompanied by ineffective governance. These challenges, which are deeply interconnected and mutually reinforcing, create a vicious cycle of productive stagnation, social exclusion, and institutional fragility. However, digital transformation and the adoption of new technologies, such as artificial intelligence (AI), present a unique opportunity to break this cycle.

This document examines how digitalization and, in particular, artificial intelligence (AI) can serve as catalysts to improve productivity, reduce inequality gaps, and strengthen institutional capacities in the region. The transformative impact of AI is already beginning to emerge, and preliminary figures indicate that its influence on economic growth and the labor market will become even more significant in the coming years. Furthermore, the document provides an overview of the digital strategies being implemented by countries in the region, along with a series of recommendations aimed at optimizing their effectiveness and promoting the real and effective adoption of digital technologies. These proposals are designed to guide the formulation of policies and initiatives within the framework of a regional digital agenda, with a target horizon of 2026.