This policy paper presents an in-depth exploration of five key trends in public sector innovation, with a focus on their potential to enhance social inclusion across Ibero-America. As governments in the region grapple with systemic challenges – including persistent social inequalities and vulnerabilities exacerbated by crises such as the COVID-19 pandemic – the need for innovative solutions is urgent. This study, jointly conducted by the OECD and SEGIB, identifies major trends that reflect governments' commitment to adopting innovation to promote social inclusion and improve the quality of public services. These trends include (1) expanding public service coverage through digitalisation, (2) strengthening citizen participation in public policy decision making, (3) improving the skills of public servants for people-centred service design, (4) promoting more transparent and efficient access to public information, and (5) enhancing inter-institutional collaboration to enhance policy responsiveness.