Introduction
In Central America, Luxembourg remains a significant partner in the Central American Integration System (SICA), particularly through a project with SICA’s Secretariat General to support vulnerable groups (indigenous people, Afro-descendants and young people) in Central America, and a regional project supporting female entrepreneurs with the Centre for the promotion of micro and small business in Central America (CENPROMYPE). The latter is a key project dedicated to equality between men and women and the promotion of women’s economic rights. In view of the good results produced by the programme and this issue’s importance, Luxembourg has undertaken to finance a second phase of the programme for the 2021-2025 period, with significant support in terms of technical assistance through LuxDev.
Read more
Luxembourg also continued its support to migrant women in Central America and the Dominican Republic through a regional project with the International Organization for Migration (IOM).
In addition, Luxembourg’s Development Cooperation and the Ministry of Finance have jointly contributed to the third phase of the technical assistance programme of CAPTAC-DR (International Monetary Fund Regional technical assistance centre for Central America, Panama and the Dominican Republic). This centre, based in Guatemala, provides technical assistance to its seven member countries, targeting capacity-building for institutions and individuals for the implementation of sound macroeconomic and financial policies.
In Central America, Luxembourg has also continued its support for the promotion of inclusive finance, particularly microfinance. Thus, the Luxembourgish association Appui au Développement Autonome (Support for Autonomous Development - ADA) supports the regional network RED-CAMIF, the aim of which is to promote the microfinance industry. Finally, Luxembourg’s Development Cooperation finances the technical assistance programme of the Luxembourg ‘Forestry and Climate Change Fund’ (FCCF), which has the aim of re-establishing secondary or degraded forest areas in Central America and making them economically, ecologically and socially viable by engaging local communities while guaranteeing a long-term yield for investors in the fund.
Priority areas of intervention
- Gender equality
- Reduced inequalities
- Climate action
- Partnerships
Key achievements 2020
- Women account for 53% of the Central American migrant population, and social and physical violence are major risks during the migration process. Through Luxembourg’s support for the IMO’s regional programme hundreds of migrant women have had access to psycho-social and economic support since the start of this year.
- In order to protect the environment in Central America, Luxembourg is continuing its regional commitment to the Forestry and Climate Change Fund by supporting local communities and re-establishing forest areas that have been degraded as a result of climate change.
