El Salvador Competitive Project

A project to improve competitiveness in key Salvadoran economic sectors.

aerial view of city with mountain in background
Vista of the City of Ataco, Ahuachapán

ICMA is providing technical assistance to municipalities in El Salvador as part of a five-year project with the primary objective of increasing the competitiveness of key economic sectors. The project supports efforts to

  • Strengthen the capacity of micro, small, and medium enterprises (MSMEs) to compete in domestic and export markets
  • Improve the national and subnational business environment to encourage private-sector investment, innovation, and business expansion to foster economic growth and job creation.

The project is funded by the U.S. Agency for International Development (USAID) and builds on lessons learned from earlier development initiatives. It complements other USAID/El Salvador activities to enable Salvadoran businesses to become more competitive in global markets while ensuring participation of men and women, including those with disabilities and those from the LGBTI community.

Project partners include national and subnational governments, the private sector, civil society organizations, universities, and technical/vocational institutions. As a subcontracting partner, ICMA supports Palladium in implementing the project objectives, with a focus on providing expertise for improving municipal services to firms in municipalities selected for the project. This involves:

  • Providing technical assistance to improve the business enabling environment at the subnational level, helping municipal competitive committees and other relevant municipal-level entities implement and/or update their plans. One factor affecting economic opportunities, employment, and growth is a secure and safe municipal environment. For that reason, ICMA will work with municipalities on violence prevention and other public safety initiatives that are linked to new investment or enable businesses to operate and grow more efficiently.
  • Providing training and technical assistance on key topics such as attracting investment and creating public-private partnerships, business improvement districts, and regulations for economic development.
  • Facilitating CityLinks exchanges between U.S. and Salvadoran cities to support the creation of new one-stop-windows and simplified business procedures; strengthen or create municipal units for enterprise development (known as EMPREs) to link medium and small enterprises with business development service providers and establish business improvement districts (BIDs).

For additional information, contact global@icma.org.


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