Due to the economic crisis, it is expected that during 2021 the number of business alliances and company sales will increase, especially in the most damaged sectors, such as tourism, hotels, restaurants, entertainment, education and real estate.
The restrictions imposed by the governments of the region due to the covid-19 outbreak, has generated economic losses in most of the productive sectors, including reported business closures and increases in unemployment levels.
Avianca, United Airlines and Copa Airlines, signed a trade agreement that will allow them to agree flight routes in the American continent.
To ensure the commercial agreement reached on November 30th becomes effective, the three airlines plan to apply for regulatory approval and a complementary antitrust immunity (ATI) subsidy in the coming weeks from the U.S. Department of Transportation (DOT) and authorities in 19 Latin American countries.
When public resources are very limited, as it happens in Central American countries, association schemes between the State and the private sector become essential for developing the infrastructure that the region so badly needs.
A report from the Secretariat of Economic Integration (Sieca) states that "...In Central America, growing fiscal constraints faced by the countriespublic sectors make it increasingly difficult to achieve efforts for long-term infrastructure projects.In this context, Public-Private Partnerships (PPP) become relevant as an alternative measure of financing where private participation sector is facilitated in partnership with the government, with the aim of improving quality of services, reducing operating costs and capital, generating additional income, improving public management and minimizing budget spending.
The government of Costa Rica and the main business union have agreed to create a formal setting to discuss topics related to Competitiveness, Innovation and Talent.
From a statement issued by the Union of Chambers and Associations of Private Business Sector (UCCAEP):
The president, Luis Guillermo Solis has signed a decree officially forming the President's Council on Competitiveness, Innovation and Talent.
The Pacific Alliance is now operating and producing results which are favorable to the development of the nations which compose it, and it is a natural environment for Central American countries to be integrated into.
Editorial
The very apt comparison made by analyst Andres Oppenheimer between the economic blocs Mercosur-Argentina, Brazil, Paraguay, Uruguay and Venezuela-, and the Pacific Alliance-Chile, Colombia, Mexico and Peru (soon to also include Costa Rica) - shows the major conceptual differences between one group and another, and the concrete results generated for the development of their people.
Coopeleche has signed an agreement with Florida Bebidas who will manage its plant in Alajuela, Costa Rica, and distribute its entire product line.
The company Florida Bebidas has signed a strategic partnership with la Cooperativa Agropecuaria Regional de Productores de Leche (Coopeleche RL) located in San Ramon de Alajuela.
Florida will take over the production and distribution for the dairy cooperative, occupying the plant in San Ramón de Alajuela, reported Elfinancierocr.com.
The partnership will allow Nicaraguan entities to access stock market information market from Costa Rica.
According to Jose Rafael Brenes, General Manager of the National Stock Exchange of Costa Rica, the goal is to facilitate access to stock and share products from Costa Rican market, through the signing of a correspondent agreement between broker members", reported Elnuevodiario.com.ni
The Instituto Costarricense de Electricidad (ICE) has since late 2010 a set of rules which allow partnerships with private entities outside the general rules of government contracting.
Characterized by the vertical structure of its activities in the electricity market the Costa Rican Electricity Institute now has the flexibility to partner with private companies, allowing it to have a competitive advantages that could not be achieved individually in the short term."
With this alliance, Wal-Mart will promote the inclusion of Small and Medium Enterprises (SMEs) of the region in its international suppliers network.
Under the terms of the agreement it signed with Fecaexca, the Federation of Central American Chambers of Exporters, the company will train SMEs in international commerce and make them part of its business rounds, so they can become Wal-Mart suppliers outside of Central America.
Avianca CEO Fabio Villegas announced they are negotiating a strategic alliance between both airlines.
No further detail was known about this potential alliance between Colombia's largest air company and Central America's largest air transportation group, nor if the negotiation includes acquisitions or mergers.
The group, Emisoras Unidas, announced the launch of the "Proyecto del Futuro II," a strategic alliance of communications media.
"Proyecto del Futuro II" is a strategic Alliance of 44 radio stations, three regional television channels, 800 outdoor ad spaces and seven websites, also includes the Central American representation of the channels MTV, VH1, and Nickelodeon.
The strategic alliance between Hospital Clínica Bíblica and MedTrava Group will promote Costa Rica as a medical tourism destination for the United States market.
MedTrava Group, one of the main agencies of medical tourism in the United States, announced an alliance with Hospital Clínica Bíblica in Costa Rica. Their objective is to offer an additional low-cost medical tourism destination for its American clients.