written by José Eguigure and Daniel Barjum
A few weeks ago, Vice President Kamala Harris, and other top officials, including Samantha Power, Administrator of the United States Agency of International Development, and former professor at Harvard University, attended the inauguration of Xiomara Castro as the first female President of Honduras in its 200 years of independence. According to several sources, including the New York Times, this is a clear statement of the U.S. foreign policy on strengthening its ties within the Northern Triangle of Central America, and represents a good opportunity to pave the way in tackling complex challenges in Honduras, Guatemala, and El Salvador. Can the private sector help to deliver on this cause? How?
Vice President Harris launched “a Call to Action to the Private Sector” last year to join government efforts to increase economic opportunities within the region and “address the root causes of migration” to the United States. Twelve companies and organizations such as Bancolombia, Microsoft, Mastercard, the Harvard T.H Chan School of Public Health, among others joined this effort back in May 2021. Recently, seven new partners have joined including Grupo Mariposa, Cargill, PepsiCo, and CARE International, and all together “have invested more than 1.2 billion dollars.” Although this is a promising initiative supported by the nonprofit Partners for Central America, the major challenge now is how to deliver on this promise, allow for stakeholder engagement, and give agency to local communities. Finding the right approach or blending of approaches will be crucial for the implementation of this strategy.
The first question we need to ask ourselves is how much do we know about the problem and how different do stakeholders frame it? Then, how do we get high levels of legitimacy among local communities and sustain it across time? How can we overcome countries’ binding constraints, in Honduras for example, its low ease of doing business? Since there are a lot of unknowns and ambiguities, a good way to start these conversations is by engaging and building trust with key stakeholders in each country. Problem Driven Iterative Adaptation (PDIA) can be a useful methodology to complement current efforts. PDIA is a “learning by doing” approach that empowers stakeholders to breakdown problems, identify potential solutions, iterate, and build capabilities while learning throughout the process. PDIA poses a unique and effective approach to development, borrowing ideas from both private and public sector initiatives and experiences around the world.
Continue reading Can the private sector help to pave the way to tackle complex challenges in the Northern Triangle of Central America?