New ‘rules of the game’ needed to nurture purpose-led business in Ibero-America

Laura Joffre

Up to 6% of GDP in Latin America comes from purpose-led firms. These businesses will play an important role in economic recovery that works for all, for example by helping sustain gains in gender equality. But, according to new research in Latin America, Spain and Portugal, such firms – also known as the fourth sector – face significant barriers. They need a “new institutional architecture”, experts say: laws, regulations and policies, and even their own legal identity, that support without stifling growth.