Vice President Harris and PCA unveil $1B in new commitments for economic growth

Today, Vice President Kamala Harris and the Partnership for Central America (PCA) revealed a sum exceeding $1 billion in fresh investments from the private sector. This contribution forms a crucial part of Central America Forward (CAF), a collaborative effort between the public and private sectors that was established in reaction to the Vice President’s appeal to take action for Northern Central America.

Main 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 plans to make a $3.6 million investment in El Salvador, Guatemala, and Honduras to strengthen local food systems.
  • Banco Cuscatlan is set to invest more than $30 million in promoting financial inclusion in El Salvador.
  • Corporación AG aims to inject over $150 million into Guatemala’s economy, generating employment opportunities.
  • Ficohsa will increase its SME loan portfolio by $490 million, with a focus on supporting women-led businesses.
  • JA Worldwide will provide skills training to over 1,800 vulnerable girls.
  • Meta plans to train 250,000 youth and entrepreneurs.
  • Pearson will enhance the skills of English language learners.
  • Pantaleon is set to invest over $42 million in Guatemala.
  • Conecta is planning an investment of over $260 million in electrical power transmission in Guatemala.

Implications

  • Emphasis on fostering financial inclusion, skills development, job creation, digital accessibility, and entrepreneurial support.
  • Supplementary efforts encompass promoting good governance, establishing a service corps, and enhancing remittance transfers.

These investments are generating concrete opportunities for families and communities, benefiting students, employees, entrepreneurs, and households, while also establishing a model that mobilizes private sector commitments to fuel economic development.

These pledges demonstrate a dedication to fostering sustainable growth and inclusive development in the region, tackling crucial issues such as job creation, digital accessibility, and financial inclusion. This partnership serves as a prime example of the transformative potential when government and private sector entities come together to bring about positive change and construct a more prosperous future for Central America.

By Robert K. Hightower