The Partnership for Central America (PCA) and Vice President Kamala Harris have jointly announced today an impressive sum of over $1 billion in fresh investments from the private sector. This landmark initiative, known as Central America Forward (CAF), is a dynamic public-private collaboration that emerged in direct response to the Vice President’s Call to Action for Northern Central America.
Key Highlights
- Since May 2021, the cumulative value of new commitments has surpassed $5.2 billion.
- Over 50 companies and organizations have pledged their support towards fostering inclusive economic growth.
- These investments will generate employment opportunities, enhance access to the digital economy, and uplift economic well-being.
- The new commitments encompass investments in various sectors such as agriculture, financial inclusion, steel production, small and medium-sized enterprises (SMEs), youth training, and more.
New commitments
- Acceso is planning to invest $3.6 million in strengthening local food systems in El Salvador, Guatemala, and Honduras.
- Banco Cuscatlan intends to invest more than $30 million in promoting financial inclusion in El Salvador.
- Corporación AG has committed to investing over $150 million in Guatemala, which will lead to job creation.
- Ficohsa has announced plans to expand their SME loan portfolio by $490 million, with a focus on supporting women-led businesses.
- JA Worldwide aims to provide skills training to more than 1,800 vulnerable girls.
- Meta plans to offer training programs to 250,000 young individuals and entrepreneurs.
- Pearson has committed to enhancing the skills of English language learners.
- Pantaleon intends to invest over $42 million in Guatemala.
- Conecta has announced plans to invest more than $260 million in electrical power transmission in Guatemala.
Implications
- The initiatives aim to prioritize financial inclusion, skill development, job creation, enhancing digital access, and providing support to entrepreneurs.
- Furthermore, there are additional efforts to promote good governance, establish a service corps, and facilitate remittance transfers.
These investments are producing concrete opportunities for families and communities, yielding benefits for students, employees, entrepreneurs, and households, while also establishing a blueprint for mobilizing private sector commitments to propel economic development.
The commitments underscore a commitment to sustainable growth and inclusive development in the region, addressing key challenges such as job creation, digital access, and financial inclusion. This partnership exemplifies the power of collaboration between government and private sector entities to drive positive change and build a more prosperous future for Central America.
