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This paper is taken from the second group session on Monday 22 July 2002 at the International Vocational Education and Training Organisation (IVETA) Conference. The paper examines new roles and responsibilities of governments and key parties involved in funding vocational education and training (VET); describes the Latin American approach to VET funding; summarises selected innovative funding approaches; and describes other possible co-financing mechanisms. The paper indicates Latin American governments' decreased involvement in the management and provision of VET, and states that governments have the responsibility to foster an economic environment in which individuals and organisations are encouraged to develop training and education opportunities.