Unlocking the Power of Data: Building Government Analytics Ecosystems in Latin America and the Caribbean

Data enables better governance, ensuring that policymakers and citizens have access to accurate and real-time evidence for policymaking and implementation (Rogger and Schuster 2023). Recognizing the potential of data, governments in Latin America and the Caribbean (LAC) have invested in management information systems (MIS) that collect data on core government functions (See figure 1).

Figure 1. Governments in Latin America and the Caribbean have achieved almost universal coverage in core management information systems.

Source: Data for Better Governance: Building Government Analytics Ecosystems in Latin America and the Caribbean.

Despite collecting more data than ever before, governments in LAC underuse data for analytics. For example, data on prices of procured goods lay dormant on a data server, rather than being actively analyzed to estimate and set prices in tenders. Enabling government analytics, the use of data to inform policymaking and improve the functioning of government, requires an institutional approach. 

A recent World Bank report, Data for Better Governance: Building Government Analytics Ecosystems in Latin America and the Caribbean, argues that government analytics is part of an ecosystem — a metaphor that highlights the interdependence between analytics and two enabling conditions: analytical capabilities and data infrastructure. The report presents novel evidence on the landscape of government analytics ecosystems in the region, drawing on an original survey of 20 countries and responses from over 100 government officials. 

Turning Administrative Data into Action

Governments across the region are analyzing administrative data — but their use is uneven (See figure 2). According to our survey, 96% of MIS data are used for descriptive analytics, but only half are used for diagnostic or predictive purposes. Diagnostic and predictive analytics enable actionable insights and prepare for the future. However, predictive analytics, such as early warning systems for school dropouts, are mostly limited to systems like Tax MIS and Health MIS.  

Figure 2. Types of analytics, by type of MIS

Source: Data for Better Governance: Building Government Analytics Ecosystems in Latin America and the Caribbean.

Use of analytics in public administration also varies widely. Some government functions – such as taxation and education – use analytics strategically to inform decision making. Others, especially Human Resource Management, tend to analyze data for bureaucratic compliance only.

Investing in People and Organizations: Building Analytical Capabilities

Governments in LAC have to invest more in the talent needed for analytics. Only 12% of countries surveyed have a dedicated career track for data analysts, making it difficult to attract and retain qualified professionals (See figure 3). Public sector salaries may lag behind the private sector, but offering a stable and meaningful career path can offset this wage gap.

Capacity building efforts also need to be refined. While 62% of governments offer analytics training, only 25% assess staff skills, causing misalignment with actual needs. Many training programs also lack clear objectives or practical relevance, limiting their impact.

Figure 3. Career Tracks for and Training and Assessments on Analytics

Career Tracks for and Training and Assessments on Analytics

Institutionalizing analytics requires dedicated analytics units. These units can serve as specialized anchors to push the analytics agenda forward and house specialized talents. Stronger funding streams can encourage the development of novel government analytics. Currently, only 33% of governments provide internal funding for analytics, and this is concentrated in sectors like education and health.

Strengthening the Backbone: Data Infrastructure

Government analytics requires investments in the quality and credibility of data infrastructure. Incomplete digitalization and limited data coverage restrict data use (See figure 4). For instance, while 71% of Tax MIS are fully digitalized, only 8% of Health MIS meet the same standard. Data quality controls are uneven too. While some systems like Tax and Education MISs regularly conduct quality checks, others rely on infrequent manual cleaning leading to duplication, inefficiencies, and reduced data reliability.

Figure 4: Fully digitalized systems, by type of MIS

Fully digitalized systems

Access to data remains uneven due to informal access protocols and limited documentation. Although 57% of MIS are associated with formal access protocols, these protocols are uneven across MIS. Health MISs and Education MISs lag behind – only 14% and 38% of systems, respectively, report having formal access protocols in place. Documentation remains a challenge, with many governments lacking data inventories and quality controls. Only 58% of MISs have comprehensive data inventories, and only 15% track data usage.

A Call to Action

Latin American and Caribbean governments are well positioned to harness the full potential of their administrative data. While key foundations are in place, strengthening analytical capacity, expanding beyond descriptive analytics, and investing in higher quality data infrastructure is foundational for robust government analytics ecosystems.

The goal is not just better analytics—it’s better governance. When data are used strategically, governments can design smarter policies, deliver more efficient services, and strengthen citizen trust. Building a government analytics ecosystem is imperative: it’s an essential step toward more responsive, transparent, and effective public administration.

Source: blogs.worldbank.org