Dec. 12, 2020-The global pandemic and a double-dose of hurricane damage is sending Central American populations and governments into a crisis. Poverty rates are increasing. And governments are facing protests at home. This week leaders from Central American countries met to discuss the structural roots of migration and an ambitious development plan for the region.
Poverty Rising, Economies Shrinking
About 12 million people in Central America fell into poverty this year, according to Alicia Bárcena, executive secretary for the Economic Commission for Latin America and the Caribbean (ECLAC).
“The fiscal standing of these countries has been affected by expenditures made to confront the pandemic,” Bárcena said, according to the press release. “In addition, the ETA and IOTA hurricanes have affected more than 4 million people and caused losses amounting to more than 70 percent of production in the agricultural sector.”
Mexico’s economy shrank by 9 percent in 2020. Meanwhile, the GDP in economies throughout the region decreased by similar numbers: 8.6 percent in El Salvador, 8 percent in Honduras and 2.5 percent in Guatemala, according to ECLAC.
Mitigating Migration
Therefore, the economic fallout was the backdrop as Central American leaders met this week to advance regional development. One of the key goals is to address the structural causes of irregular migration. Bárcena said structural causes of migration include lack of economic growth, poverty, inequality, violence, and a desire by some to reunite with family members working abroad.
It’s been over a year since U.S. President Donald Trump and Mexican President Andrés Manuel López Obrador agreed in a joint declaration to work together to stem the tide of migration to the United States. Furthermore, it was that same year when the United Nations-formed ECLAC initiated a regional strategy for economic and energy collaboration.
Regional Plan Centers on Sustainable Development
Today, Bárcena said sustainable development is still at the center of the comprehensive plan. Leaders plan to meet in a March 2021 conference to unveil the ambitious agenda. It is estimated to cost $45 billion over five years.
When ECLAC met in October, attendees included UN Secretary-General António Guterres, Costa Rican President Carlos Alvarado Quesada, Cuban President Miguel Díaz-Canel as well as representatives from all member states. The leaders focused on developing a new economic model focused on inclusive development, equality and sustainability, according to the press release.
Cuba’s Influence in the Region
Meanwhile, Cuba’s influence in the region appears to be growing. A separate meeting was held on Dec. 8 by CARICOM, which represents Caribbean countries and Cuba. The meeting resulted in a joint statement that emphasized strengthening trade and investment ties, sustainable development, opposing U.S. sanctions, and addressing the COVID-19 pandemic.
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