Growing crime and violence in Central America not only have an immediate human and social toll, they also pose a tremendous threat to development potential in the region.
Today, it is estimated that these sources of instability may decrease regional Gross Domestic Product (GDP) by 8 percent, once health, institutional, private security, and material expenses are accounted for.
The project by the Central American Bank for Economic Integration will assist in improving living conditions of low-income families located in rural areas.
To improve the living conditions of people in rural areas of Nicaragua, the Central American Bank for Economic Integration (BCIE), approved $ 8 million supporting the Integration of Small Producers to Value Chains and Market Access Program (PROCAVAL).
The funds will be earmarked for social development programs and to combat poverty.
The $ 19.5 million loan is for implementing the Family and Community Welfare Care Model, sponsored by the Ministry of Family, Youth and Children, (Mifano).
The Social Welfare Project is aimed at families living in extreme poverty with one or more children under 13 years of age, giving priority to children who are working and/or outside the school system.
In Guatemala an Economic Culture Survey found that nearly 6 in 10 people do not know what interest rate is.
"39% of the population of Guatemala recognizes not to know what interest rate are and almost 20% has a misconception; the bottom line is that nearly 6 out of 10 Guatemalans do not know what interest rate means."
The survey on economic culture was conducted in Guatemala, but similar results would be obtained in other regional countries.
The term "charter cities" by economist Paul Romer is in principle very attractive, but besides the obvious implementation difficulties, it smells like new colonialism.
Aditya Chakrabortty, in his article in The Guardian, dissects economist Paul Romer and his idea of introducing in poor countries, cities with special laws and regulations which would allow meteoric economic development.
Like electricity or roads, digital communications with unlimited bandwidth is essential for development.
Question: "In Costa Rica, broadband Internet implies a top speed of 512 Kbps. The government's plan is to raise that limit to 1,544 Mbps Where does that leave the country?"
Answer: "This leaves the country at the end of country rankings. And that's bad."
In the Global Human Development Index 2010, Panama is ranked 54, Costa Rica 62, El Salvador 90, Honduras 106, Nicaragua and Guatemala 115 and 116 respectively.
The Central American countries, like others in Latin America, continue to improve in most variables measuring human development and the HDI Program published by the United Nations Development Program (UNDP).
The economic and social development of Central America depends on efficient, profitable and competitive agriculture.
The article by Ferley Henao "Without Productivity There is no Paradise”, highlights the need to accelerate the pace in search of agricultural productivity in Central America, showing how slow countries of the region are progressing, not only against first world nations but also in relation to other Latin American countries.
Bank Accounts per 1,000 adults: Costa Rica 1354, Guatemala 1140, Honduras 758, Panamá 412.
In branches per 100,000 adults, Guatemala is first with 35, followed by Costa Rica with 23, Panamá 18, El Salvador 9, and Honduras 2. No available data for Nicaragua.
Financial Access 2010 is the second annual survey of financial regulators in more than 140 countries covering the turbulent period between 2008 and 2009.
Governments must understand the investors do not risk their money in order to develop receiving countries. They risk it in order to obtain more money.
The phrase on the lips of every Latin American government at the moment is "encourage foreign investment", as if there were a direct relationship between the amount of FDI and a country's development.
Telecoms companies should cut their package prices to enable mass Internet access.
"While Latin America is one of the regions with most cell phones (three for every PC), the reality is that the telcoms companies are still conspiring to limit the inevitable growth in using them for web-access."
The article by Alexandre Hohagen in Martesfinanciero.com comments that the way to universalise Internet access is via low cost mobile platforms such as netbooks and inteligent phones, but most importantly by offering more economic payment plans including unlimited connection.
At the third encounter between Korea and Central America, President Lee Myung-bak will present proposals for developing regional industrial infrastructure.
The Asian nation wants stronger relations with Central America. They plan to provide financial assistance for development projects, in which they will also share their experience in economic growth.
In Latin America, children have far less development opportunities than kids growing up in Europe, the United States or Canada.
Chile and Uruguay are the best placed Latin American nations in the 2010 Human Opportunity Index, but they are way below the so called “first world countries”, in having the necessary conditions for human development.
We already knew this empirically, but it is important to analyze what creates opportunities for developing, not just as businessmen worrying over a depressed and poor market for our products, or as authorities in charge of developing policies, but as responsible parents.
Bringing together leaders of the public and private sector to address critical issues challenging competitiveness in Central America.
Washington, DC – Caribbean Central American Action (CCAA) is pleased to announce the dates for a special conference event that will look at competitiveness in Central America and the Dominican Republic and its impact on the region's trade and development.