A Business Development Center and ten Salvadoran MSMEs will strengthen their entrepreneurial capacities with support from the DINAMICA II Initiative

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The signing of two agreements is expected to strengthen 183 direct and indirect beneficiaries, increasing their capacities in circular economy, as well as in the acceleration of their businesses.

San Salvador, September 8th, 2023.- With the objective of improving business services and strengthening the technical capacities of MSMEs, the Asociación Agencia de Desarrollo Económico Local del Departamento de la Unión, ADEL La Unión, and the Central American Bank for Economic Integration (CABEI) through the DINAMICA II Initiative, with the support of the European Union and the Government of Germany, through the KfW development bank, signed two non-reimbursable technical assistance agreements for a total of US$194,900.

These funds are expected to develop the capacities and skills of ADEL La Unión's business advisors in the management of the Circular Economy so that they can provide an innovative and specialized service to raise awareness of this issue among companies in the area, thus helping to improve their competitiveness. In addition, part of the non-reimbursable funds will enable ADEL La Unión to strengthen 10 MSMEs through specialized technical assistance to improve their business skills in administration, production, and technology, enabling them to accelerate the growth of their businesses.

The DINAMICA II Initiative is a tripartite agreement between CABEI, the Government of Germany, through KfW, and the European Union, and is implemented in Central America with the objective of promoting and strengthening the development of the entrepreneurial ecosystem and the private sector, especially for new, young and/or innovative MSMEs.

To date, this Initiative has supported Salvadoran MSMEs with more than US$12 million in loans; it has strengthened more than 79 micro and small enterprises with nonreimbursable Small Grants; and it has more than US$6 million for technical assistance to strengthen Business Development Centers and MSMEs, as well as seed capital for innovative enterprises and MSMEs, through the Special Window of El Salvador.