Latin America Intelligent Age

According to our survey, 58% of respondents across the region feel the regulatory environment is unclear. Nearly half cite navigating data privacy and protection as their main regulatory bottleneck to adopting and scaling AI technologies, followed by 18% reporting the lack of AI-specific regulation as the primary obstacle. Almost two in five feel that clearer guidelines and standards, along with more training and capacity building, could accelerate AI adoption in their organizations. To unlock AI’s potential while safeguarding against risks, such as AI generated misinformation, AI hallucinations, compromised privacy and more, the region could move towards standardizing regulations with international and regional peers, reducing barriers, enabling cross-border growth and fostering a more trusted, inclusive and innovation-friendly environment. Several countries are leveraging tools from international organizations to develop their AI strategies. Many have looked to UNESCO, which published its Recommendation on the Ethics of Artificial Intelligence that includes an actionable framework for the ethical development and use of AI, encompassing the full spectrum of human rights.48 Brazil, Chile, Mexico, Uruguay and other Central American and Caribbean countries have engaged with UNESCO’s Readiness Assessment Methodology,49 with Paraguay following suit. Argentina, Brazil, Chile, Colombia, Costa Rica, Mexico and Peru have formally adopted the OECD’s AI Principles, which establish intergovernmental standards on AI.50 In 2025, Uruguay, a leader in developing regulation, became the first country in Latin America to sign the Council of Europe’s Framework Convention on Artificial Intelligence and Human Rights, Democracy and the Rule of Law, a legally binding treaty aimed at ensuring the responsible use of AI.51 The region could also explore other global efforts, such as the Hiroshima AI Process, which provides a common framework for responsible, safe and trustworthy AI; backed by Japan’s G7 presidency, the initiative drives adoption of shared international principles, a code of conduct and a reporting framework for organizations developing advanced AI systems.52 Its objectives are to reduce regulatory fragmentation, promote international coordination and foster multistakeholder collaboration by convening governments, industry and civil society to align on shared governance standards. Latin America could consider and adapt these principles to regional needs as it develops AI strategies and plans, aligning with global practices to prevent regulatory fragmentation while unlocking prized benefits: boosting economic competitiveness and innovation, improving public services and safety, increasing investor and public trust, and ensuring interoperability with global markets.Latin American organization leaders’ perception of the current regulatory environment FIGURE 12 Percent of total responses from Latin American organization leaders1 Very clear 6% 49% 39% 39% 13% 6%Somewhat clear 11% 18% Neutral 25% Somewhat unclear33% 58% Very unclearData privacy and protection Lack of AI-specific regulation Unclear compliance requirements High regulatory cost or burden Cross-border data transferClearer guidelines and standards Training and capacity building Financial incentives or subsidies Public-private partnerships25%13% 12% 6%How clear is the current regulatory environment in guiding responsible AI development in your industry? What are the main regulatory challenges or bottlenecks your organization faces in adopting and scaling AI technologies?What type of regulatory support would most accelerate AI adoption in your company? Note: 1. Some totals do not sum to 100% as some organizations (<2%) answered “Other”; excludes organizations who answered “Do Not Know” Source: Latin America in the Intelligent Age - AI capabilities survey, August - October 2025, n=129 Latin America in the Intelligent Age: A New Path for Growth 22