CABEI supports trade and competitiveness to foster regional economic integration

25/01/2019
BCIE apoya a la región centroamericana por alcanzar una integración económica que permita hacer frente a los retos que presenta el comercio y la economía global.
BCIE apoya a la región centroamericana por alcanzar una integración económica que permita hacer frente a los retos que presenta el comercio y la economía global.

CABEI granted technical cooperation under the non-reimbursable modality to El Salvador for an amount of US$750,000.00 dollars in support of the Program of Incorporation of El Salvador to the Process of Deep Integration towards the Free Transit of People and Goods, which was initiated by Guatemala and Honduras.

Tegucigalpa, January 24, 2018.- As established by its mission,  the Central American Bank for Economic Integration (CABEI) has historically provided technical and financial support to the Central American customs integration process, with a focus on sustainable growth in order to foster regional integration.

At the meeting of International Cooperators in Support of the Process of Deep Integration of the Countries of the Northern Triangle, which was organized by the Secretariat of Central American Economic Integration (SIECA), CABEI representatives presented the progress made in the initiatives that the Bank has supported to facilitate regional trade.

The representatives highlighted that in 2016, CABEI granted non-reimbursable technical cooperation for US$1.5 million to finance the "Program to Support the Process of Deep Integration towards the Free Transit of People and Goods between Guatemala and Honduras." The program was aimed at modernizing the border crossing and reduce times for the productive sectors of both CABEI member countries.

Another noteworthy action is the recent approval to El Salvador of non-reimbursable technical cooperation for US$750,000.00 to finance the program denominated, "Support for the Incorporation of El Salvador to the Process of Deep Integration towards the Free Transit of People and Goods Initiated by Guatemala and Honduras."

The cooperation involves invigorating the Salvadoran economy to generate development opportunities for individuals and companies; designing and developing physical infrastructure that allows the readjustment of control centers and four intra-border posts; developing IT and specialized services for border authorities; procuring computer equipment for customs; and designing, preparing and placing adequate signposting at the borders.

The incorporation of El Salvador to the Customs Union will lead to the creation of a market composed of 32 million inhabitants; a market made up by the inhabitants of the three countries. The promotion of regional integration in the Northern Triangle will allow the three countries to project an increase in their exports through a more streamlined trade with lower costs that will translate into better prices for consumers.

In the framework of the strategic axis of Regional Integration, which is part of CABEI's 2015-2019 Institutional Strategy, "Integrating Sustainable Development and Competitiveness," the Bank carries out efforts to make countries more efficient, improve competitiveness and achieve the intraregional economic integration of the nations. 

Working hand in hand with countries

Working closely with its member countries and in line with the new regional framework policy for mobility and logistics in Central America, CABEI also supports other processes, such as: the Customs Union between Guatemala and Honduras; the negotiations to the Free Trade Agreement between Central America and Korea; and the Association Agreement of Central America with the European Union.

In the spirit of improving the capacities and competitiveness of the nations, CABEI reaffirms its commitment and support for the regional integration of the countries of the Central American Integration System.

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