Updated November 23, 2021
Latin America and the Caribbean: U.S. Policy Overview
The United States maintains strong linkages with
decline, along with difficult security and political
neighboring Latin America and the Caribbean (LAC) based
conditions, has helped fuel increased migration.
on geographic proximity and diverse U.S. interests,
including economic, political, and security concerns. The
LAC faces numerous political challenges. In Venezuela, the
United States is a major trading partner and source of
ongoing political and humanitarian crisis under the
foreign investment for many of the 33 countries in LAC,
government of Nicolás Maduro has resulted in an estimated
with free-trade agreements enhancing economic linkages
5.7 million migrants and is a challenge for the entire
with 11 countries. The region is a large source of U.S.
hemisphere. Haiti remains in turmoil after the assassination
immigration, both authorized and irregular; major factors
of President Jovenel Moïse in July, contending with
driving migration include proximity, economic and security
uncertainty over the future of national elections, a surge in
conditions, natural disasters, and familial ties. Curbing the
gang violence, and the aftermath of a severe earthquake that
flow of illicit drugs has been a long-standing component of
struck in August. In Nicaragua, President Daniel Ortega’s
relations, involving close cooperation with Mexico,
government escalated repression by arresting opposition
Colombia, Central America, and the Caribbean. U.S.
figures and banning major opposition parties from
Administrations have long expressed support for democracy
participating in the country’s November 7 elections, in
and human rights in the region, especially in Cuba,
which Ortega claimed victory. The Cuban government
Nicaragua, and Venezuela, and have raised corruption and
responded to widespread anti-government protests on July
human rights concerns in other countries.
11 with mass arrests and detentions and suppressed plans
for a nationwide peaceful “civic march for change” on
Increasing Challenges in the Region
November 15.
Over the past several years, the quality of democracy has
eroded in a number of countries in LAC, along with public
Biden Administration Policy
satisfaction with how democracy is working. In addition to
In the Biden Administration’s initial months, much of its
Venezuela, Cuba, and Nicaragua—all ruled by authoritarian
focus in LAC was on immigration and Central America.
governments repressing the political opposition—human
President Biden ended some of the Trump Administration’s
rights groups have expressed concerns about democratic
restrictive immigration policies, while contending with a
backsliding in several other countries. Many countries in
large increase in the number of undocumented Central
LAC experienced social unrest in 2019 fueled by such
American and other migrants seeking to enter the United
political factors as weak democratic institutions, politicized
States. In July 2021, the Administration released two new
judicial systems, corruption scandals, and high levels of
strategies to address the underlying causes that push Central
crime and violence and by such economic factors as
Americans to migrate and to collaboratively manage
declining or stagnant growth rates and high levels of
migration in the region. The Administration also imposed
income inequality and poverty.
targeted sanctions against dozens of current and former
officials of the governments of Central America’s Northern
Since 2020, the Coronavirus Disease 2019 (COVID-19)
Triangle countries (El Salvador, Guatemala, and Honduras),
pandemic has had widespread public health, economic, and
for corruption or obstructing investigations into corruption.
political effects in LAC. As of November 23, 2021, the
region reported over 1.5 million deaths (almost 30% of
The Biden Administration’s FY2022 budget request for
deaths worldwide). The rollout of vaccines in LAC has
foreign assistance to LAC amounts to almost $2.1 billion,
varied considerably. According to the Pan American Health
nearly 16% over estimated FY2021 appropriations. The
Organization, 50% of the region’s population was fully
request includes almost $861 million to Central America to
vaccinated as of November 17, although coverage was
address the root causes of irregular migration.
significantly lower in almost half of LAC countries. The
International Monetary Fund (IMF) reports a regional
On the pandemic, the Administration committed to provide
economic decline of 7% in 2020, with almost every country
1.2 billion COVID-19 vaccines globally, including to LAC.
in recession. As a result, poverty and inequality have
As of November 17, the United States had delivered almost
increased throughout LAC.
51 million vaccine doses to 29 LAC countries and the State
Department and U.S. Agency for International
Most of the region’s countries are projected to begin
Development had provided more than $614 million to
economic recovery in 2021, with the IMF projecting a
support the pandemic response in the region.
regional growth rate of 6.3%, but many countries may
struggle with protracted recoveries. The economic setback
The Biden Administration continues to pressure the Maduro
associated with the pandemic contributed to increased
government in Venezuela through sanctions and states it is
protests in LAC in 2020 and 2021. Regional economic
committed to work multilaterally to press for a return to
democracy. The Administration also continues to provide
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Latin America and the Caribbean: U.S. Policy Overview
humanitarian support to Venezuelans inside and outside the
risks of pervasive surveillance technologies. In the House,
country. In March 2021, the Secretary of Homeland
H.R. 3524, the Ensuring American Global Leadership and
Security granted temporary protected status (TPS) to
Engagement Act, ordered reported by the House Foreign
Venezuelans in the United States.
Affairs Committee in July, has some of the same LAC
provisions as S. 1260 and includes provisions to strengthen
On Cuba, as the human rights situation has deteriorated, the
U.S. engagement with the Caribbean. On November 17, the
Biden Administration has imposed targeted sanctions
Speaker and the Senate Majority Leader issued a statement
against Cuban security officials and entities involved in the
that the House and Senate would go to conference to
repression.
reconcile the two chambers’ legislative proposals.
On Nicaragua, the Administration has imposed targeted
In June 2021, the House passed H.R. 2471, the Haiti
sanctions on officials involved in undermining democracy,
Development, Accountability, and Institutional
including a new round of sanctions in the wake of the
Transparency Initiative Act, which would promote the
country’s “sham election.” It also has worked with partners
sustainable rebuilding and development of Haiti and
and multilaterally to denounce Nicaragua’s human rights
prioritize U.S. support for anti-corruption efforts and
violations and anti-democratic actions.
human rights. The Senate Foreign Relations Committee
reported its version of the bill, S. 1104, in October 2021.
On Haiti, the Administration is working to support
conditions for free and fair elections, including support to
In July 2021, the House approved its version of the FY2022
restore security and address gang violence. The
foreign aid appropriations bill, H.R. 4373 (H.Rept. 117-84).
Administration has contributed personnel and resources to
As passed, the bill would provide assistance to several key
efforts to return American and Canadian missionaries
countries and programs in LAC for FY2022 at levels either
kidnapped by a Haitian gang in October 2021.
matching or exceeding the Administration’s budget request,
including aid to Central America, Colombia, Mexico, and
Among other issues, the Biden Administration has
regional assistance to the Caribbean. The Senate
reincorporated cooperation on climate change into the U.S.
Appropriations Committee introduced its version (S. 3075)
policy approach toward LAC. The next Summit of the
in October 2021. The Senate bill and its explanatory
Americas (to be hosted by the United States in 2022) could
statement would provide slightly more assistance than
be an opportunity for the Administration to further
requested for Colombia and the Caribbean but over $200
articulate its policy agenda for the region and strengthen
million less than that requested for Central America.
engagement with hemispheric leaders.
In November 2021, Congress enacted the Reinforcing
Congressional Action in the 117th Congress
Nicaragua’s Adherence to Conditions for Electoral Reform
Congress traditionally has played an active role in policy
Act of 2021 (RENACER Act; P.L. 117-54). Among its
toward LAC in terms of both legislation and oversight.
provisions, the bill directs the Administration to use
Since 2020, Congress has appropriated some $17 billion in
diplomatic tools and targeted sanctions to advance
international affairs funding to respond to COVID-19
democratic elections and combat corruption.
globally. In the 117th Congress, this funding included $10.8
billion appropriated in the American Rescue Plan Act of
In September 2021, the House passed its version of the
2021 (P.L. 117-2), enacted in March 2021. The funding has
National Defense Authorization Act (NDAA) for FY2022,
supported contributions to multilateral efforts and health
H.R. 4350 (H.Rept. 117-118), with a provision that would
interventions, humanitarian assistance, and donation of
require a report on efforts by China to expand its presence
COVID-19 vaccine doses worldwide, including to LAC.
and influence in LAC; the report to the bill would require a
report on the activities of U.S. Special Operations Forces in
In March 2021, the House approved H.R. 6, which would
LAC. The Senate Armed Services Committee reported its
provide a pathway to citizenship for those brought to the
version, S. 2792, in September, with a provision that would
United States as children and those from countries with
require a plan for enhancing security cooperation and
TPS designations (including El Salvador, Haiti, Honduras,
advancing U.S. strategic interests in the Western
Nicaragua, and Venezuela).
Hemisphere. The Senate is expected to return to floor
consideration of the NDAA in late November.
In June 2021, the Senate passed S. 1260, the United States
Innovation and Competition Act of 2021, which seeks to
The House and Senate have separately approved several
improve the United States’ ability to compete with China
resolutions on U.S. relations with the region. On the human
worldwide. Among its LAC provisions, the bill would
rights situation in Cuba, the House approved H.Res. 760 in
require strategies to increase exports of U.S. goods and
November and the Senate approved S.Res. 37, S.Res. 81,
services and to strengthen U.S. economic competitiveness
and S.Res. 310 from April to July. The Senate also
and promote good governance, human rights, and the rule
approved S.Res. 22 on Ecuador in April and S.Res. 120, on
of law. It also would require a report assessing China’s
the forthcoming Summit of the Americas.
engagement in international organizations and the defense
sector in LAC; authorize a capital increase for the Inter-
Also see CRS In Focus IF11581, Latin America and the
American Development Bank (similar to S. 616); support
Caribbean: Impact of COVID-19; and CRS Report R46781,
U.S. defense cooperation; and increase engagement with
Latin America and the Caribbean: U.S. Policy and Key
civil society regarding accountability, human rights, and the
Issues in the 117th Congress.
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Latin America and the Caribbean: U.S. Policy Overview

IF10460
Mark P. Sullivan, Specialist in Latin American Affairs


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