This chapter examines the growing autonomy of regional governments in Latin America and the Caribbean, highlighting that although it has increased since the 1980s and 1990s, it still falls below OECD standards in areas such as tax collection. Differences in the attributions of local governments are emphasized, with countries like Brazil, Chile, Colombia, and Peru having broader competencies that include education and primary healthcare. The impact of asymmetric decentralization is analyzed, which can foster the closing of gaps and learning among jurisdictions, although there is a warning about the risk of deteriorating public policies in places with limited governmental capacities. Colombia stands out as an exceptional case in the implementation of this type of decentralization in the region.