CWA # 2102
CW Review
Weakening faith in institutions and Political polarization in Latin America and the Caribbean:
Six Takeaways from the UNDP Democracy and Development Report 2026
Latin America and the Caribbean are witnessing a gradual decline in democracy. Even though institutions remain functional, their ability to deliver results and maintain trust is being questioned.
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Glynnis Winona B
15 May 2026
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The UNDP’s Democracy and Development Report 2026 looks at how democracy functions across Latin America and the Caribbean. The report emphasizes the relationship between democracy, human development, and the state, suggesting that democratic stability depends on how effectively these three dimensions interact.
The following are six major takeaways of the UNDP report on the region.
1. Democratic systems remain stable, but dissatisfaction has increased
Across the region, more than four out of five citizens live under democratic governments. Though democratic systems persist, satisfaction with them has declined steadily. Dissatisfaction increased from 51.6 per cent in 1995 to 64.7 per cent in 2024. On the other hand, satisfaction with governance fell from 38.4 per cent to 32.6 per cent. Today, about 58 per cent of the public support democracy, but over 70 per cent believe that governments tend to serve powerful interests rather than the public interest. This trend is not uniform across the region, as some countries continue to show stronger institutional confidence than others. These patterns question the effectiveness of democracy.
2. Political representation and trust in institutions are weakening
Voting levels remain quite high, with around 68 per cent of eligible voters participating in elections. Despite decent electoral participation, trust in institutions has declined significantly across the region. Trust in political parties remains the lowest at around 16.9 per cent, while trust in governments and the judiciary stands at approximately 31.1 per cent and 28.4 per cent respectively. At the same time, new political movements are gaining more trust. Traditional party systems are weakening, and the age of parties winning elections has dropped sharply over the years. The report suggests that people are looking for alternatives, even if they are less stable. It also reflects a growing gap between citizens and political institutions.
3. Political polarization has intensified across the region
Political polarization refers to the increasing division in political views, making agreement and cooperation more difficult. Political divisions have deepened in Latin America. Now, it ranks as the most polarized region globally, with an index score of 3.4 compared to the global average of 2.9. This index reflects how far apart political groups have moved ideologically. Widening of gaps makes cooperation harder. Public debate has become more confrontational, and political conflicts have increased. This phenomenon has also made policymaking more difficult in several countries. The intensity of polarization differs by country, with some experiencing sharper divisions than others.
4. Organized crime has become a major democratic pressure
Criminal networks have expanded their influence in the region. In some areas, they influence local governance and interfere with political processes. The region continues to record the highest homicide rates in the world. In 2022, Caribbean countries reported some of the highest numbers, including 77.6 per 100,000 in Turks and Caicos and over 40 in Saint Lucia and Trinidad and Tobago. Between 20 and 40 per cent of these homicides are linked to organized violence. Crime is no longer limited to drug trafficking but also includes extortion, illegal mining, and financial activities. Beyond this, the economic cost of violence is about 3.44 per cent of regional GDP. While Central America has seen some decline in violence, the Caribbean shows the exact opposite trend.
5. Digital disinformation and AI are reshaping political communication
Digital platforms are changing how politics is communicated and consumed. Around 76 per cent of people believe false information spreads widely on social media. Many also support stronger controls, even if that means limiting expression. New technologies such as deepfakes and automated bots are becoming part of political communication. Increasing online abuse also ties these shifts together. In some countries, up to four out of ten interactions directed at women online appear to be violent. Digital platforms tend to be more impactful on political behavior than expected.
6. Inequality, migration pressures, and weak state capacity affect democratic stability
Long-term structural factors influence the functioning of democracy. Tax revenues average around 22 per cent of GDP, much lower than the OECD average of 34 per cent. Although social spending increased during the pandemic from 8.4 per cent in 2000 to 13.7 per cent, it has fallen again. As a result, inequalities remain visible across sectors. Migration is another area of concern. More than 30 per cent of people are considering leaving their country due to insecurity and economic challenges. At the same time, the overall Human Development Index has increased from 0.648 in 1990 to 0.783 in 2023. These mixed trends show that progress exists, but it is uneven. This points out the importance of improving state capacity. Alongside these factors, environmental and climate-related pressures further affect livelihoods and governance.
Latin America and the Caribbean are witnessing a gradual decline in democracy. Even though institutions remain functional, their ability to deliver results and maintain trust is being questioned. The region’s democratic future depends on how governments respond to these pressures.
About author
About the author
Glynnis Winona B is an undergraduate student at the Department of International Relations, Peace Studies and Public Policy, St. Joseph's University, Bengaluru. She is currently an intern at the National Institute of Advanced Studies (NIAS), Bengaluru
