Updated December 3, 2021
Latin America and the Caribbean: U.S. Policy Overview
The United States maintains strong linkages with
5.7 million migrants and is a challenge for the entire
neighboring Latin America and the Caribbean (LAC) based
hemisphere. Haiti remains in turmoil after the assassination
on geographic proximity and diverse U.S. interests,
of President Jovenel Moïse in July, contending with
including economic, political, and security concerns. The
uncertainty over the future of national elections, a surge in
United States is a major trading partner and source of
gang violence, and the aftermath of a severe earthquake that
foreign investment for many of the 33 countries in LAC,
struck in August. In Nicaragua, President Daniel Ortega’s
with free-trade agreements enhancing economic linkages
government escalated repression by arresting opposition
with 11 countries. The region is a large source of U.S.
figures and banning major opposition parties from
immigration, both authorized and irregular; major factors
participating in the country’s November 7 elections, in
driving migration include proximity, economic and security
which Ortega claimed victory. The Cuban government
conditions, natural disasters, and familial ties. Curbing the
responded to widespread anti-government protests on July
flow of illicit drugs has been a long-standing component of
11 with mass arrests and detentions and suppressed plans
relations, involving close cooperation with Mexico,
for a nationwide peaceful “civic march for change” on
Colombia, Central America, and the Caribbean. U.S.
November 15.
Administrations have long expressed support for democracy
and human rights in the region, especially in Cuba,
Biden Administration Policy
Nicaragua, and Venezuela, and have raised corruption and
In the Biden Administration’s initial months, much of its
human rights concerns in other countries.
focus in LAC was on immigration and Central America.
President Biden ended some of the Trump Administration’s
Increasing Challenges in the Region
restrictive immigration policies, while contending with a
Over the past several years, the quality of democracy has
large increase in the number of undocumented Central
eroded in a number of countries in LAC, along with public
American and other migrants seeking to enter the United
satisfaction with how democracy is working. In addition to
States. In July 2021, the Administration released two new
Venezuela, Cuba, and Nicaragua—all ruled by authoritarian
strategies to address the underlying causes that push Central
governments repressing the political opposition—human
Americans to migrate and to collaboratively manage
rights groups have expressed concerns about democratic
migration in the region. The Administration also imposed
backsliding in several other countries. Many countries in
targeted sanctions against dozens of current and former
LAC experienced social unrest in 2019 fueled by such
officials of the governments of Central America’s Northern
political factors as weak democratic institutions, politicized
Triangle countries (El Salvador, Guatemala, and Honduras),
judicial systems, corruption scandals, and high levels of
for corruption or obstructing investigations into corruption.
crime and violence and by such economic factors as
The Biden Administration’s FY2022 budget request for
declining or stagnant growth rates and high levels of
foreign assistance to LAC amounts to almost $2.1 billion,
income inequality and poverty.
nearly 16% over estimated FY2021 appropriations. The
Since 2020, the Coronavirus Disease 2019 (COVID-19)
request includes almost $861 million to Central America to
pandemic has had widespread public health, economic, and
address the root causes of irregular migration.
political effects in LAC. As of December 2, 2021, the
On the pandemic, the Administration committed to provide
region reported 1.54 million deaths (30% of deaths
1.2 billion COVID-19 vaccines globally, including to LAC.
worldwide). According to the Pan American Health
As of December 2, 2021, the United States had delivered
Organization, 54% of the region’s population was fully
over 55 million vaccine doses to 29 LAC countries and the
vaccinated as of December 1 but coverage was significantly
State Department and U.S. Agency for International
lower in many countries. The International Monetary Fund
Development had provided more than $614 million to
(IMF) reports a 7% regional economic decline in 2020; as a
support the pandemic response in the region.
result, poverty and inequality have increased.
Most of the region’s countries
The Biden Administration continues to pressure the Maduro
have begun economic
government in Venezuela through sanctions and states it is
recovery in 2021, with the IMF projecting a regional
committed to work multilaterally to press for a return to
growth rate of 6.3%, but many countries may struggle with
democracy. The Administration also continues to provide
protracted recoveries. The economic setback associated
humanitarian support to Venezuelans inside and outside the
with the pandemic contributed to increased protests in LAC
country. In March 2021, the Secretary of Homeland
in 2020 and 2021. Regional economic decline, along with
Security granted temporary protected status (TPS) to
difficult security and political conditions, has helped fuel
Venezuelans in the United States.
increased migration.
The Administration has imposed sanctions on Cuba and
LAC faces numerous political challenges. In Venezuela, the
Nicaragua as their governments have become more
ongoing political and humanitarian crisis under the
repressive. As the human rights situation has deteriorated in
government of Nicolás Maduro has resulted in an estimated
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Latin America and the Caribbean: U.S. Policy Overview
Cuba, the Administration has imposed targeted sanctions
In June 2021, the House passed H.R. 2471, the Haiti
against Cuban security officials and entities involved in the
Development, Accountability, and Institutional
repression. In Nicaragua, the Administration has imposed
Transparency Initiative Act, which would promote the
targeted sanctions on officials involved in undermining
sustainable rebuilding and development of Haiti and
democracy, including a new round of sanctions in the wake
prioritize U.S. support for anti-corruption efforts and
of the country’s “sham election.” It also has worked with
human rights. The Senate Foreign Relations Committee
partners and multilaterally to denounce Nicaragua’s human
reported its version of the bill, S. 1104, in October 2021.
rights violations and anti-democratic actions.
In July 2021, the House approved its version of the FY2022
On Haiti, the Administration is working to support
foreign aid appropriations bill, H.R. 4373 (H.Rept. 117-84).
conditions for free and fair elections, including support to
As passed, the bill would provide assistance to several key
restore security and address gang violence. The
countries and programs in LAC for FY2022 at levels either
Administration has contributed personnel and resources to
matching or exceeding the Administration’s budget request,
support efforts to return American and Canadian
including aid to Central America, Colombia, Mexico, and
missionaries kidnapped by a Haitian gang in October 2021.
regional assistance to the Caribbean. The Senate
Appropriations Committee introduced its version (S. 3075)
Among other issues, the Biden Administration has
in October 2021. The Senate bill and its explanatory
reincorporated cooperation on climate change into the U.S.
statement would provide slightly more assistance than
policy approach toward LAC. The next Summit of the
requested for Colombia and the Caribbean but over $200
Americas (to be hosted by the United States in 2022) could
million less than that requested for Central America.
be an opportunity for the Administration to further
articulate its policy agenda for the region and strengthen
In November 2021, Congress enacted the Reinforcing
engagement with hemispheric leaders.
Nicaragua’s Adherence to Conditions for Electoral Reform
Act of 2021 (RENACER Act; P.L. 117-54). Among its
Legislative Action in the 117th Congress
provisions, the bill directs the Administration to use
Congress traditionally has played an active role in policy
diplomatic tools and targeted sanctions to advance
toward LAC in terms of both legislation and oversight.
democratic elections and combat corruption.
Since 2020, Congress has appropriated some $17 billion in
international affairs funding to respond to COVID-19
In September 2021, the House passed its version of the
globally. In the 117th Congress, this funding included $10.8
National Defense Authorization Act (NDAA) for FY2022,
billion appropriated in the American Rescue Plan Act of
H.R. 4350 (H.Rept. 117-118). As approved, the bill
2021 (P.L. 117-2), enacted in March 2021. The funding has
includes numerous LAC provisions: a report on efforts by
supported contributions to multilateral efforts and health
China to expand its presence and influence in LAC; support
interventions, humanitarian assistance, and donation of
for rule-of-law and anti-corruption efforts in Central
COVID-19 vaccine doses worldwide, including to LAC.
America, including sanctions and conditions on assistance;
authorization of FY2022 and FY2023 aid for the Northern
In March 2021, the House approved H.R. 6, which would
Triangle countries to protect women and children; a report
provide a pathway to citizenship for those brought to the
on efforts to disrupt firearms trafficking to Mexico; a
United States as children and those from countries with
prohibition on certain security assistance for Brazil; a report
TPS designations (including El Salvador, Haiti, Honduras,
on conflict assessment in Haiti; and, on Colombia, a report
Nicaragua, and Venezuela).
on human rights, potential restrictions on certain exports for
In June 2021, the Senate passed S. 1260, the United States
crowd control purposes, and a prohibition on aid for aerial
Innovation and Competition Act of 2021, which seeks to
fumigation. The Senate Armed Services Committee
improve the United States’ ability to compete with China
reported its version, S. 2792 (S.Rept. 117-39) in September,
worldwide. Among its LAC provisions, the bill would
with a provision requiring a plan to enhance security
require strategies to increase exports of U.S. goods and
cooperation and advance U.S. strategic interests in the
services and to strengthen U.S. economic competitiveness
Western Hemisphere. Senate floor consideration of the
and promote good governance, human rights, and the rule
NDAA began in mid-November and is continuing.
of law. It also would require a report assessing China’s
engagement in international organizations and the defense
The House and Senate have separately approved several
sector in LAC; authorize a capital increase for the Inter-
resolutions on U.S. relations with the region. On the human
American Development Bank (similar to S. 616); support
rights situation in Cuba, the House approved H.Res. 760 in
U.S. defense cooperation; and increase engagement with
November and the Senate approved S.Res. 37, S.Res. 81,
civil society regarding accountability, human rights, and the
and S.Res. 310 from April to July. The Senate also
risks of pervasive surveillance technologies. In the House,
approved S.Res. 22 on Ecuador in April, and S.Res. 120, on
H.R. 3524, the Ensuring American Global Leadership and
the forthcoming Summit of the Americas, in May 2021.
Engagement Act, ordered reported by the House Foreign
Also see CRS In Focus IF11581, Latin America and the
Affairs Committee in July, has some of the same LAC
Caribbean: Impact of COVID-19; and CRS Report R46781,
provisions as S. 1260 and includes provisions to strengthen
Latin America and the Caribbean: U.S. Policy and Key
U.S. engagement with the Caribbean. On November 17, the
Issues in the 117th Congress.
Speaker and the Senate Majority Leader issued a statement
that the House and Senate would go to conference to
Mark P. Sullivan, Specialist in Latin American Affairs
reconcile the two chambers’ legislative proposals.
IF10460
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Latin America and the Caribbean: U.S. Policy Overview


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https://crsreports.congress.gov | IF10460 · VERSION 26 · UPDATED

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