The OECD Latin American Economic Outlook 2009 argues that Latin America could do a lot more to use fiscal policy to promote development. It explains how governments in the region can go beyond using fiscal policy uniquely for macroeconomic stabilisation and begin to maximise the potential of debt management, tax systems and public spending to combat poverty, prevent social exclusion and provide more equal opportunities. This event will see Dr. Jeff Dayton-Johnson introducing the OECD Development Centre’s Latin America Economic Outlook 2009 (http://www.oecd.org/dev/publications/leo) focusing on the effect that the current financial crisis might have on already weak fiscal systems. Taking account of this economic outlook Dr. Hernandez Licona will reflect upon what this means for social policy in the region and what the state’s role in re-enforcing social policy is. Geoff Handley will then discuss fiscal space for social protection policy in the context of a looming financial crisis and comparisons from other regions.

This event offered an opportunity to draw lessons from Latin America on the potential impact of the financial crisis on social protection policies across the development world. It also provided a space to launch the Latin American Economic Outlook 2009.