Social Enterprise in Latin America

This research note provides an overview of the social enterprise ecosystem in Latin America, exploring current dynamics across key markets, including country-specific insights on Brazil, Mexico, Argentina, Colombia, Chile, and Central America. In a region characterized by persistent inequality, informal economies, and limited access to essential services, social enterprises have emerged as innovative actors capable of addressing systemic social and environmental challenges by applying market-based solutions. The note examines the ecosystem’s key drivers, including the influence of international organizations (such as Ashoka, IDB, and IFC), family and corporate foundations, and a growing network of impact investors. The note also highlights how regulatory progress has begun to formalize the sector in countries like Colombia, Peru, and Uruguay. It examines the complexity of financing pathways for early-stage ventures and tracks the evolution from microfinance to impact investing. It also identifies representative enterprises, ecosystem leaders, and local investors, offering a comprehensive view of the region’s efforts to build inclusive and sustainable development through social entrepreneurship.