Honduras : International Executive Service Corps (IESC) evaluation

External interim evaluation covers the period 8/83-12/88. IESC has generally performed very well. Of 50 former and current clients interviewed, the vast majority reported a very positive experience, most claiming that they received much more assistance than was originally requested. The number of clients assisted has grown from 3 in 1983 to 62 in 1988, for a grand total of 186 businesses assisted. During the 1987/88 period, some 27 micro (0-10 employees) and 14 small (11-25 employees) industries were served. Among the clients interviewed, production rose 35%, employment increased 21%, and scrap was reduced by 15%. In many cases. progress was clearly shown through the enhancement of product design or improved packaging. In companies already exporting, sales showed a marked increase where such design or packaging improvements were made. Resource allocation could be improved, however, to better assist businesses in the agricultural sector, the basis of the Honduran economy. Payments for the direct costs of an IESC volunteer's services have been made by both large businesses (who paid in full) and small businesses (who paid in part). The major recommendation is that since the project is working well, it should be left alone. Other recommendations are, inter alia, to: develop guidelines for charging clients; increase assistance to small and micro industries, especially, where feasible, in the areas of export promotion; and open a new IESC office in La Ceiba.