Through its Public Private Alliance Program, USAID seeks to partner with the private sector to jointly design, fund, and implement alliances aimed at improving social and economic conditions in El Salvador. This innovative approach to development assistance mobilizes ideas, efforts, and resources of government, businesses, and civil society to stimulate economic growth, develop business and workforces, address health and environment issues, and expand access to education and technology.
USAID introduced the Global Development Alliance (GDA) concept in May 2001 as a fundamental reorientation as to how it works in the context of international development assistance, how it relates to traditional partners, and how it seeks out and develops new relationships. This reorientation, which entails working with non-traditional partners, including the private sector, is a reflection in the shift in resource flows to the developing world. Thirty years ago, 70% of resource flows from the US to the developing world came in the form of Official Development Assistance. Today, 80% of those resource flows come from foreign direct investment, private donations, remittances, and other non-governmental sources. Official Development Assistance accounts for only 14% of these resource flows today, underscoring the increasing importance of the private sector in the development process.
At USAID/El Salvador, partnerships are a way for the strengths of the private and public sectors to complement each other. By joining forces, our assistance to the people of El Salvador can be significantly expanded. Partnerships can take a number of forms, with many types of organizations. Some public-private partnerships are GDAs, which have formal requirements, while other public-private partnerships are less structured.
To qualify as a GDA:
- Successful proposals will bring at least a 1:1 resource leveraging, meaning that the partner(s) will collectively contribute resources that are at least equal if not greater than the level contributed by USAID.
- Partners are expected to bring significant new resources, ideas, technologies, and/or partners to address development problems in countries where USAID is working.
- Partners can be foundations; U.S. and non-U.S. non-governmental organizations (NGOs); U.S. and non-U.S. private businesses; business and trade associations; international organizations; U.S. and non-U.S. colleges and universities; U.S. cities and states; other U.S. government agencies; civic groups; other donor governments; host country governments; regional organizations; host country parastatals; philanthropic leaders including venture capitalists; public figures; and advocacy groups.
For more information on USAID’s GDA programs worldwide, click here.