|
|
|
|
|
|
|
|
|
|
  |
 |
  |
Central American Regional
FY 2001 Program Description and Activity Data Sheets
>> Regional Overview >> Central American Program Overview FY 2001 Program
The regional program will increase the ability of Central American governments to participate in global markets by helping reform trade and investment policies, improve protection of worker rights, protect children from illegal child labor practices, encourage productivity-enhancing labor market policies, and increase private investment in energy/telecommunications services. In the environment, the program will support activities with regional economies of scale and cross-border impacts to consolidate a Central American system of protected areas and to harmonize environmental policies. The regional special objective will help local Central American organizations deliver HIV/AIDS awareness and prevention services.
The $10.2 million in Development Assistance and $3.7 million in Child Survival and other Disease Program Fund resources in FY 2001 will enable the United States to achieve its priority objectives in the region. FY 2001 is the final year of a five-year strategy for the region. A new strategic plan for the FY 2002-2006 period is currently under design.
[an error occurred while processing this directive]
ACTIVITY DATA SHEET
PROGRAM: Central American Regional
TITLE AND NUMBER: Increased Central American Participation in Global Markets, 596-001
PLANNED FY 2000 OBLIGATION AND ACCOUNT: $3,200,000 (DA)
PROPOSED FY 2001 OBLIGATION AND ACCOUNT: $3,200,000 (DA)
STATUS: Continuing
INITIAL OBLIGATION: FY 1995 ESTIMATED COMPLETION DATE: FY 2001Summary: This strategic objective responds both to USAID's Agency-Wide goal of broad-based economic growth and to Central America's acceptance of an outward-looking, export-led strategy as the best way to achieve rapid, sustainable, and equitable economic growth. It is consistent with U.S. foreign policy objectives and the establishment of the Free Trade Area of the Americas (FTAA) by 2005 and advancement of the trade liberalization agenda negotiated globally through the World Trade Organization (WTO). While fully supportive of the FTAA, Central America's ability to participate in the FTAA is severely limited by its shortage of technical expertise to implement existing trade agreements and commitments, dismantle trade barriers, and enhance the region's trade competitiveness. USAID's Program Supporting Central American Participation in the FTAA (PROALCA) provides training and technical assistance to close these gaps. PROALCA aims to increase Central America's readiness to join and honor commitments made under free trade agreements, such as the FTAA and the North America Free Trade Area (NAFTA), and to accelerate regional integration into hemispheric and global markets. Only through greatly expanded trade will Central America attain the real economic growth rates required to effectively combat poverty in the region.
Key Results: (1) Improved trade and investment policies, including lower tariff rates, fewer nontariff barriers for both intra-regional and world trade, stronger intellectual property rights protection (IPR), and an enhanced investment climate; (2) More equitable and better functioning labor markets, requiring improved labor relations, stronger protection of core labor standards, and negotiated deregulation; and (3) Increased private investment in energy and telecommunications, which is essential as public sector savings are insufficient to finance needed infrastructure investment.
Performance and Prospects: Overall performance has exceeded expectations. PROALCA has contributed to the adoption of a more outward-oriented regional integration model characterized by lower tariffs, faster implementation of WTO commitments, and fewer non-tariff trade barriers. By January 2000 the region's governments will have completed their three-year phased reduction of their common external tariff from a range of 5-20% (5% minimum tariff on capital goods and raw materials and 20% maximum tariff on final goods) to a range of 0-15%. Reflecting a better policy framework, Central America's trade performance continues to improve. Over the last six years imports from the U.S. have more than doubled to over $10 billion which supports 200,000 U.S. jobs. Central America continues to actively participate in the FTAA process and chairs the negotiating group on resolution of trade disputes (Costa Rica) and chairs the consultative group on smaller economies (Guatemala). A free trade agreement (FTA) was reached between the Central American governments and Chile, and the marathon negotiations toward a FTA between Guatemala, El Salvador, Honduras and Mexico are nearing completion.
In 1999, with PROALCA support, Central America accelerated efforts to complete its WTO commitments, especially in the areas of customs valuation and trade-related aspects of intellectual property (TRIP). Regional trade regulations consistent with WTO standards and aimed at the expected requirements under the FTAA were developed and approved in the areas of technical standards, sanitary and phytosanitary standards, safeguards, unfair trade practices, and rules of origin. Work continues toward reaching a regional consensus in the areas of trade in services, investment and dispute resolution. PROALCA is supporting a recent initiative of the Central American Presidents in the areas of investment and dispute resolution.
According to the annual human rights reports from the region's U.S. Embassies, the region's overall performance in protecting core labor standards continues to improve albeit specific high profile workers rights disputes erupted in 1999 (banana workers in Guatemala and maquila issues in Honduras). At this moment, all countries in the region continue to remain off the Generalized System of Preferences (GSP) workers rights watch list, and all remain eligible for GSP trade benefits. Substantial communication between the region's trade and labor ministries has occurred through the joint USAID-IDB funded Labor Market Modernization Program, linking conceptually trade and labor issues as they relate to improving the region's competitiveness. A $1 million program combating the more abusive forms of child labor, approved in 1999, will focus on the plight of children from poverty stricken families.
USAID continues to support regulatory reform and restructuring and to facilitate private investment and develop competitive energy markets in the region. For example, technical support to the Superintendency of Telecommunications (SIT) in Guatemala was instrumental for opening up the sector to competition. As a result of this assistance there are now 24 registered operators that are authorized to offer long distance services, and long distance phone charges have declined dramatically.
Based on preliminary estimates, total private sector investment increased in the region by $1.0 billion in 1999, bringing total investment to $3.6 billion or 20% above the planned indicator for 1999. New private investment in Guatemala's and El Salvador's recently liberalized telecommunications sector is estimated at over $1 billion. In El Salvador, a U.S. firm successfully bid for two electrical generating companies and plans to make additional investments. The firm sees these investments as their entry-level platform for growth in Central America given the grid connections to Guatemala and Honduras.
Possible Adjustments to Plans: To meet the increased demand from the countries of the region, USAID plans to redirect funds under the current (1997-2001) strategy to increase private investment in energy and telecommunications. A new regional trade/investment/labor strategy for 2002-2006 is now being developed.
Other Donor Programs: USAID and the IDB are implementing a joint activity to help modernize labor markets. USAID maintains close contact with the United Nations Economic Commission for Latin America (ECLA)-Central American Office, which provides research and technical analysis on Central American economic integration issues.
Principal Contractors, Grantees, or Agencies: USAID coordinates with the Office of the U.S. Trade Representative (USTR), the U.S. Patent and Trademark Office (USPTO), the U.S. Department of Labor, the U.S. Customs Service, and the Economic/Commercial Sections of U.S. Embassies in the region. The Permanent Secretariat for Central American Economic Integration (SIECA) is a grantee, as are several Central American governments. Contracts and grants have been awarded to U.S. and local firms including Hagler Bailly. Through USAID support and encouragement, SIECA negotiated a Memorandum of Understanding with the USPTO to cooperate toward strengthening intellectual property rights protection.
Selected Performance Measures: Baseline Actual
(1998)Target
(1999)Target
(2000)Target
(2001)Trade Openness (total trade
as a percent of GDP)(1994)
45%52% 52% 54% 55% Readiness to enter FTAs
(composite Index with
maximum of 5)(1992)
2.73.5 3.4 3.5 3.6 Intra-Regional Trade
as percent of GDP(1994)
7.29.5% 8.2% 8.4% 8.5% Private Investment in Energy
and Telecommunications (U.S.
dollars - cumulative). Note:
for 1999 "actual" reported.(1997)
$0 billion$2.6 billion $3.6 billion $4 billion $5 billion U.S. Finance Table (Microsoft Excel file)
ACTIVITY DATA SHEET
PROGRAM: Central American Regional
TITLE AND NUMBER: Increased Effectiveness in Regional Stewardship of the Environment and Natural Resources in Targeted Areas, 596-002
PLANNED FY 2000 OBLIGATION AND ACCOUNT: $5,000,000 (DA)
PROPOSED FY 2001 OBLIGATION AND ACCOUNT: $7,000,000 (DA)
STATUS: Continuing
INITIAL OBLIGATION: FY 1995 ESTIMATED COMPLETION DATE: FY 2001Summary: The economies of the Central American region still depend heavily on agricultural production which is threatened by a deteriorating natural resource base. The sustainability of this productive base requires concerted action at all levels to recognize the vital connection between productive soils, forest resources, ample water quantity and quality; and to maintain the rich genetic pool for pharmaceuticals and other scientific uses. The purpose of this strategic objective (SO) is to develop and consolidate a Central American system of protected areas by providing appropriate management models for terrestrial and coastal protected areas and to promote a strengthened regional regulatory and enforcement framework for environmental management. USAID's Central American Environment Program (PROARCA) under this SO supports the Central American Commission on Environment and Development (CCAD). The direct beneficiaries are those who live within and around the Central American protected areas, which is approximately one fourth of the region's population. The indirect beneficiaries are all the people of Central America (34 million), especially those who depend on the natural resource base for their livelihood.
Key Results: 1) consolidate the Central American Protected Areas System (CAPAS) by increasing the number of protected and special management areas under improved management; 2) increase local stewardship of the environment in target areas by helping local communities manage coastal and forest resources; and, 3) harmonize and strengthen Central American environmental policy frameworks by supporting the drafting and introduction of environmental laws and regulations to national legislatures/executive branches.
Performance and Prospects: Performance over the past year has been good even as the region dug itself out from the environmental damage inflicted by Hurricane Mitch. All planned targets were met and in some cases surpassed. In 1999, the SO surpassed its target with the implementation of four sustainable mechanisms to protect the environment. For example, the Tri-national Alliance (Belize, Guatemala, and Honduras) of nongovernment organizations (NGOs) for the Gulf of Honduras (TRIGOH) with USAID support continued to make progress in forging relationships between environmental NGOs, government and the private sector. For their work in the Gulf they were awarded the prestigious 1999 international J. Paul Getty Wildlife Conservation Prize. This $100,000 prize was established in 1974 by the late J. Paul Getty to honor outstanding contributions to international conservation.
During 1999 sixteen additional areas were protected: nine in the Gulf of Fonseca/Honduras, two in Nicaragua, one in El Salvador, two in Belize, one in Costa Rica, and one in Guatemala were brought under improved management, bringing the total number of protected areas to date to twenty three for a total of 511,091 hectares. This achievement was made possible through the multi-sectoral collaboration that USAID led in the Gulf of Fonseca for the declaration of the Mesoamerican Biological Corridor on the Honduran Pacific and the work done by the USAID terrestrial protected areas component during its second phase.
Three additional sites in Honduras, Costa Rica, and Panama have achieved an effective level of local governance. For example, in Bocas del Toro, Panama, a multi-sectoral structure (Advisory Council) has been established and strengthened to facilitate participation in decision-making regarding natural resources use. This Council is now in the process of reviewing the first draft of the management plan for the Isla Bastimentos National Marine Park and surrounding areas.
USAID's technical assistance through CCAD's Legislation Program (PROLEGIS) has helped Central American governments draft environmental laws and regulations including: the enforcement of the environmental law in El Salvador, regulations for the enforcement of the health code in Guatemala, forestry laws in El Salvador and in Nicaragua, a livestock sanitation law in Guatemala, and a biodiversity law in Nicaragua.
A post-Mitch Special Objective (SpO) was developed to strengthen regional land use management in cross border watersheds. This SpO will improve collection, analysis, and dissemination of information in the Río Lempa watershed.
Possible Adjustments to Plans: USAID/G-CAP plans to extend the current PROARCA through September 2001 to allow it to build on the successes demonstrated. Performance targets will be adjusted accordingly. USAID will design a new program consolidating lessons learned and best practices from PROARCA in 2000. This new regional environmental program will also include any new priorities outlined in the Central America Regional Strategy (2002-2006) that is being designed this year.
Other Donor Programs: International donor programs implemented under the auspices of the CCAD contribute to the establishment of the Mesoamerican Biological Corridor and work collaboratively to establish and strengthen the national protected areas systems and surrounding buffer zones that constitute the backbone of the corridor. Complementary regional programs include: Global Environment Facility ($10 million) (GEF) which supports the Central American Sustainable Development Fund (FOCADES); German International Technical Assistance Agency ($2.8 million) (GTZ), and World Wildlife Fund (WWF) support for Corridor programs; the European Union supports the Sustainable Development in Agricultural Frontiers program; Danish Agency for International Development (DANIDA) supports the Gulf of Fonseca coastal resources management program ($3 million); National Aeronautics Space Administration (NASA) supports satellite mapping; and, U.S. Environmental Protection Agency (EPA), PanAmerican Health Organization (PAHO), International-Regional Organization for Agricultural-Livestock Health (OIRSA) support the safe disposal of obsolete pesticides.
Principal Contractors, Grantees, or Agencies: Key implementing organizations include: Central American Commission on Environment and Development (CCAD), the Nature Conservancy, World Wildlife Foundation, University of Rhode Island, International Resources Group, Cooperative Housing Foundation, and EPA.
Selected Performance Measures: Baseline
(1995)Actual
(1998)Target
(1999)Target
(2000)Number of sustainable mechanisms implemented
to protect regional environment0 16 20 29 Number of USAID-assisted transboundary sites
where local threats to key natural resources
and the environment have been reduced0 7 10 16 Number of protected and special management
areas under improved management with
assistance from USAID0 7 23
(511,091
hectares)44
(339,560
hectares)Number of sites that have achieved
an effective level of stewardship of
the environment and natural resources0 15 18 20 National environmental laws and regulations
introduced to/approved by C.A. national
legislatures/executives branches.0 27 32 34
U.S. Finance Table (Microsoft Excel file)
ACTIVITY DATA SHEET
PROGRAM: Central American Regional
TITLE AND NUMBER: Enhanced Central American Capacity to Respond to the HIV/AIDS Crisis, 596-003
PLANNED FY 2000 OBLIGATION AND ACCOUNT: $3,150,000 (CSD)
PROPOSED FY 2001 OBLIGATION AND ACCOUNT: $3,700,000 (CSD)
STATUS: Continuing
INITIAL OBLIGATION: FY 1995 ESTIMATED COMPLETION DATE: FY 2001Summary: HIV/AIDS is a growing problem in Central America, where the rate of expansion varies within and across countries. Mapping of the epidemic shows steady growth along the highways and industrial corridors through the region. Although the North Coast of Honduras continues to have high rates of infection in the general adult population, as high as 14% in some sites, recent projections indicate that Guatemala's national infection rate could exceed Honduras' by 2010. The Central American epidemic continues to expand primarily through sexual behavior with multiple partners, with youth and men disproportionately affected. The unstable economic environment provoked by Hurricane Mitch has increased the vulnerability factors to the infection as men travel and leave their families behind; and women and children increasingly migrate through the isthmus, Mexico and to the United States. These challenges require a regional response. Another important reason for the epidemic's expansion is that it remains invisible to decision-makers. For example, many Hondurans do not realize that HIV/AIDS is the number two cause of death among women of reproductive age in their country. This results in a lack of commitment at the highest levels of government to integrate HIV/AIDS prevention into ongoing policy and programmatic activities.
The HIV/AIDS special objective's (SpO) purpose is to strengthen Central American organizations' capacities to deliver HIV/AIDS services and information. The SpO is organized under three different inter-related components: 1) promotion of policy dialogue/public awareness to improve HIV/STI policies and programs in Central America; 2) strengthening of nongovernment organizations (NGOs) capacity to deliver effective HIV prevention programs; and, 3) development of a condom social marketing (CSM) strategy that modifies risky sexual behavior in target populations. Primary beneficiaries are Central Americans at risk of infection by HIV/STIs.
Key Results: 1) Improve regional policy environment by strengthening policy formulation through sound research and information dissemination, develop a cadre of public and private leaders who actively support effective policies and programs, and formulate public sector reforms responsive to the HIV/AIDS challenges; 2) Improve NGO capacity by developing their programmatic and management skills and structures, establishing effective linkages among NGOs providing HIV/AIDS prevention services, and promoting the implementation of supportive HIV/AIDS policies; and, 3) Encourage safer sex practices by assisting in efforts to increase consistent and correct condom use, especially among high-risk groups, and by supporting strategies to make condoms more affordable and widely available.
Performance and Prospects: Performance in the past year continued to exceed expectations for the policy and NGO activities. The CSM Component, following a realignment based on lessons learned, is also making major achievements. To date, over 25 policy changes have occurred. Foremost among the changes is the formal ratification of National HIV/AIDS Strategic Plans in Guatemala, El Salvador, Honduras, Nicaragua, and Panama. According to UNAIDS no other region can match this accomplishment. Other positive changes include new HIV/AIDS legislation in Honduras and the development of regulations for previously passed legislation in Nicaragua. The process of developing these plans has involved people living with HIV/AIDS and other socially stigmatized groups.
Additionally, the policy and NGO Components have been developing leaders and helping organize regional coalitions. One measure of an "Enhanced Central American Capacity" is the growing ability of Central Americans to provide technical support to other Central Americans. Other achievements include the formation of a Business Council for HIV/AIDS and a labor/management consortium in Panama, support from a regional labor council, and the formation of a regional media network for HIV/AIDS.
USAID in collaboration with UNAIDS and the Mexican National Institute of Health assisted the development of an initiative to prevent HIV transmission in mobile populations that cross borders with participation of the National AIDS Programs and NGOs of Mexico and Central America. Partly as a result of this effort, in June 1999, the UNAIDS' Program Coordinating Board designated the Caribbean and Central America as priorities for regional support. The mobile population's initiative received formal support from the recent ministerial-level Central American Health Sector meeting and is on the agenda for next year's presidential-level Tuxtla-Guiterrez meeting for cooperation between Mexico and Central America.
In response to a mid-program review, the NGO Component is focusing its technical and administrative strengthening activities on 15 NGOs to enhance the sustainability and quality of activities. A baseline assessment of these 15 NGOs helped them establish the targets for May 2000 that 93% would meet the criteria for the systematic approach to HIV interventions and 87% would meet the criteria for management and financial sustainability. The NGO Component has maintained involvement by the larger community of HIV/AIDS NGOs through a network of seven Information Centers that coordinate activities and disseminate updated and accurate information about HIV/AIDS in collaboration with government institutions, students and NGOs. Other activities involving the larger NGO network include 21 small grants and the Acción SIDA community prioritizing and planning process (with its own small grants) in El Salvador and Guatemala. This process is key to developing the skills necessary for priority setting, planning and strategic alliance building required for success, while modeling innovative interventions using a systematic program planning approach for behavior change.
The CSM Component underwent realignment in consultation with AID/W and bilateral missions to emphasize targeted interventions for high-risk groups, thereby bringing the strategy more closely in line with new USAID HIV prevention guidelines. This involved revising marketing campaigns and changing distribution networks to focus on nontraditional sales points in order to reach high-risk groups. Geographic coverage will extend to Panama and southern Mexico in 2000. Condom sales doubled over 1998.
Possible Adjustments to Plans: Following recommendation from the mid-project review, the policy and NGO components are preparing a proposal for an extension that will focus more heavily on regional issues and mobile populations that cross borders. This includes information sharing and dissemination; and regional networking among NGOs, policy leaders, business and labor groups, and the media.
Other Donor Programs: The demise of the WHO Global Programme on AIDS (GPA) left a funding and coordination gap in the region. UNAIDS has taken up much of the slack in the area of technical coordination, but it does not have the level of program resources that were available through the GPA. The Dutch, the only other truly regional donor, channel most of their support through a Costa Rican NGO. The Nordic Countries are providing approximately $3.6 million dollars over three years to support programs in Guatemala, Nicaragua, El Salvador and Honduras. The GTZ and Doctors without Borders have also been active in some countries. Japan and Spain are considering support for a regional initiative to prevent HIV among mobile populations under the Common Agenda with USAID. USAID is the leading donor in this sector and coordinates with other donors both directly and through the country theme groups and the national strategic planning processes.
Principal Contractors, Grantees or Agencies: Grantees are the Academy for Educational Development (Policy Dialogue and NGO Strengthening Activities) and Population Services International (Condom Social Marketing).
Selected Performance Measures: Baseline Actual
(1998)Target
(1999)Target
(2000)Target
(2001)AIDS Policy Environment Score (1996)
43.851.8* -- 54.3 -- Number of positive policy changes (1996)
010 14 30 35 Number of person/days of technical
assistance provided by Central
American consultants(1996)
0416 800 1,400 1,600 % of outlets in high-risk
urban areas carrying condoms(1999)
33.3%-- 33.3% 36.1% 40.0%
* Bi-annual reporting.
U.S. Finance Table (Microsoft Excel file)
ACTIVITY DATA SHEET
PROGRAM: Central American Regional
TITLE AND NUMBER: Improved Regional Capacity to Mitigate Transnational Effects of Disasters, 596-004
PLANNED FY 2000 OBLIGATION AND ACCOUNT: none
PROPOSED FY 2001 OBLIGATION AND ACCOUNT: none
STATUS: Continuing
INITIAL OBLIGATION: FY 1999 ESTIMATED COMPLETION DATE: FY 2001Summary: Extreme climate phenomena like Hurricane Mitch are likely to repeat themselves in Central America, and may even intensify under the effects of global climate change. That these phenomena are not anomalies is readily accepted among climate scientists in the region. Moreover, one of the lessons of Hurricane Mitch is that its intensity alone was not the cause of such widespread devastation. Man-made factors including poorly developed and maintained infrastructure, population pressures on forested areas, and poor watershed management aggravated the effects of Hurricane Mitch's intense rainfall. Another lesson of Mitch is that the storm and its after effects did not recognize borders. During its erratic trajectory across the region, the storm's voluminous runoff and floods, amplified by one country's poorly managed environment, poured across the boundaries of shared watersheds to wreak intensified devastation on its neighbor. The reconstruction of Central America's infrastructure must take this reality into account.
A more sound approach to sustainable development that incorporates strategies, concepts and policies aimed at mitigating the effects of disasters across the region is the purpose of the Regional Mitch Special Objective (SpO). Grant assistance under the Regional SpO will help the region better prepare itself to lesson the transnational effects of disasters. The two-year targeted program will assist the region's Mitch affected countries improve their collective capacity to manage transnational watersheds, improve standards for roads, and improve education in Costa Rica due to Mitch-related migration.
Key Results: (1) Framework established for sound transnational watershed management through effective institutional arrangements for watershed management, joint watershed management and disaster mitigation planning, and putting in place an information base and tools for decision making; (2) Regional guidelines and standards developed to reduce road network vulnerability to natural disasters through a strengthened regional coordination mechanism focused on roadway vulnerability and an action plan to upgrade the road network identified and initiated; and (3) Costa Rican education system capacity upgraded in selected communities affected by Mitch-related Nicaraguan migration through upgraded education infrastructure, provision of teaching materials, teacher in-service training and adult literacy activities.
Performance and Prospects: The initial regional SpO agreement for $4.5 million was approved by USAID in May 1999. Operationally, this SpO has several elements. First, $2.0 million of the special objective was signed by the Secretariat for Central American Integration (SICA) in September 1999 for the establishment of the transnational watershed management framework that focuses on the Rio Lempa watershed, a hydrologic basin shared between Guatemala, Honduras and El Salvador. To achieve this, SICA will work in tandem with USGS and NOAA. An additional $2.0 million was transferred from USAID/G-CAP to these agencies (USGS $0.9 million and NOAA $1.1 million). The counterpart within SICA is the Costa Rica-based Regional Committee for Hydrologic Resources (CRRH). Significant participation by the Regional Center for Natural Disaster Prevention in Central America (CEPREDENAC) is also planned.
Reduction of road network vulnerability to natural disasters through development of regional guidelines and standards will be led by SICA's Secretariat for Central American Economic Integration (SIECA), and its Technical Secretariat for Transportation (COMITRAN). A SpO agreement was signed with SIECA for $0.5 million in September 1999.
The SpO was modified in November 1999 to add the third result in response to Mitch-related migration in Costa Rica and for which an additional $5 million was added.
Possible Adjustments to Plans: A fourth intermediate result, strengthening regional policies that reduce energy system vulnerabilities to disaster in an environmentally sound way, is to be added in FY 2000 with an additional obligation of $4.2 million
Other Donor Programs: Spain, Canada, Germany, Sweden, and Japan
Principal Contractors, Grantees, or Agencies: SICA, CRRH, CEPREDENAC, SIECA, COMITRAN, USGS, NOAA.
Selected Performance Measures: Baseline
(1999)Target
(2000)Target
(2001)Target
(2002)Watershed management plan developed 0 50% 100% adopted Assessment of road network completed,
standards applied, and action plan
completed0 25% 100% 100% Education infrastructure constructed/
rehabilitation (classrooms)0 225 25 0
U.S. Finance Table (Microsoft Excel file)
 |
|||
Last Updated on: January 18, 2001 |
