$1.9 Bln New Private Sector Investments In Northern Central America
American private sector companies and organizations have committed to invest more than $1.9 billion to create economic opportunity in northern Central America.
This is more than double the value of initial private sector investments in response to Vice President Kamala Harris’ Call to Action.
As part of her role addressing the root causes of migration from Central America, the Vice President last year had launched the Call to Action for businesses and social enterprises to make significant commitments to promote economic opportunity for people in the region.
Ten companies and organizations announced major new commitments Monday, joining 30 companies that have already invested since the launch of the Call to Action in May 2021.
Agroamerica, a sustainable food and ingredients corporation, will invest more than $100 million in six new projects that will generate 1,000 jobs in northern Central America over the next 5 years.
COATL, a digital service firm, will invest $35 million in El Salvador to expand rural access to high-speed internet over the next 5 years.
Fundación Terra will invest $24.5 million in new programs over 5 years, including scholarships to teach 40,000 students in El Salvador, Guatemala, and Honduras in Math and Spanish, that will promote financial inclusion.
Gap Inc. plans to increase its sourcing in Central America by approximately $50 million per year, as part of its strategy to increase supply chain resilience by nearshoring more production to the Western Hemisphere. These increased purchases from the region will support an estimated 5,000 additional jobs in Central America.
Millicom, a telecommunications company, will invest $700 million to expand and maintain its mobile and broadband networks in Guatemala, Honduras, and El Salvador over the next two years.
Pantaleon, a conglomerate including investments in agroindustry and real estate, will invest $9.4 million to fund the initial phase of a 1,200-acre industrial park on Guatemala´s Southern Coast.
SanMar, a U.S.-based apparel wholesaler, will increase its purchases of products manufactured in northern Central America by $500 million by 2025. These purchases will support the supply of products to SanMar’s over 60,000 customers, the overwhelming majority of which are American small businesses engaged in domestic light manufacturing.
Unifi, a company that produces recycled and synthetic yarns, has committed to invest $15 million over the next five years to expand capacity, improve efficiency, and reduce energy use.
Visa will invest more than $270 million over the next five years to expand financial inclusion and digital infrastructure, with the goal of adding 6.5 million people and 1 million small and medium enterprises (SMEs) into the formal financial system in Guatemala, El Salvador, and Honduras.
Yazaki North America, an automotive components producer, will invest an additional $110 million to hire over 14,000 new employees in Guatemala and El Salvador.
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