Private sector development coordination

The project, which consists of three components, will be implemented by the Camara Empresarial (CAEM). The project will provide funds for PS subprojects by nongovernmental groups which benefit the rural or urban poor or encourage them to participate in labor-intensive (preferably export-oriented) enterprises. Proposed subprojects will be reviewed by a project steering committee. Under the first subproject, the Fundacion para el Desarrollo Integral de Programas Socioeconomicos (FUNDAP) will promote Momostenango wool exports. To increase PS productivity, a variety of TA and training opportunities will be offered. The International Executive Service Corps (IESC) will provide TA and training to small- and medium-scale businesses in such fields as product design, industrial engineering, accounting, and marketing. Some 64 businesses will receive IESC consultants for an average stay of 6 weeks. Fundacion Tecnica (FUNTEC) will furnish TA and other inputs to small and medium businesses which have objectives consonant with the project goal. CAEM will select some 20 high-level Guatemalan executives for training in management techniques and marketing and in improving communications and business practices between Guatemala and the United States. A U.S.-based contractor will provide select participants with a full cycle of PS training. The project will promote the CBI, e.g., by helping define export strategies, disseminating information needed to consolidate exports, conducting research and providing direct contacts between exporters and importers, and helping consolidate commercial agreements. The project will also organize and fund local businessmen"s attendance at in-country and overseas conferences or workshops promoting U.S. imports from and investments in Guatemala, as well as overseas exhibitions of Guatemalan products or investment opportunities. Two studies will be carried out for the promotion of labor-intensive, nontraditional export activities in the small and medium business sector. CAEM will receive funding to monitor and evaluate project activities. This overhead support will also strengthen CAEM"s coordinating capacity. Amendment of 3/13/88 extends PACD 24 months to 3/27/90 and adds FUNDAP subproject to strengthen production of wood furniture and other wood products in Nahuala. The Momostenango program will continue, as will the IESC and FUNTEC subprojects; remaining activities (e.g., CBI promotion) will be continued under project 5200341 or terminated. (PD-AAX-463)