Seven strategies for improving the quality and efficiency of educational system in Latin American are delineated within the context of background information on the coverage and efficiency of school systems from 1970 to 1980, technical and institutional limitations to educational progress, and an estimate of the impact of the strategies. Strategies include: (1) providing bilingual education programs; (2) implementing innovative new school programs in rural areas: (3) providing preschool education; (4) implementing a solution to the problem of massive grade repetition among first graders from low income strata of society; (5) training of rural community instructors; (6) developing a statistical information system; and (7) using research findings in education. Impact estimations are provided for Venezuela concerning changes in student flow, levels of efficiency, and levels of expenditure. It is suggested that the implementation of the seven strategies, with expenditure increases of 5 percent per year for 5 years, would permit the reduction of grade repetition levels to one-third and substantially increase efficiency of the system, as long as the strategies are adequately implemented. (RH)