Local Economic Development Plan (GTSJE0004)

Commitment ID

GTSJE0004

Commitment Title

Implementation of Participatory Budgeting in the Municipality of San Jeronimo, Baja Verapaz, Guatemala, Central America

Problem

The little internal and external investment in the municipality of San Jerónimo generates high levels of unemployment, affecting the economy of families, and forcing new generations to emigrate to other departments or countries, these causes are generated by the increase in the basic basket, because the current minimum wage approved by the executive body for the year 2024 is Q.3, 227.82. According to data from the National Institute of Statistics (INE), the minimum wage in Guatemala is insufficient to cover basic food needs. The increase in the price of the basic basket can have effects such as Economic pressure on consumers, a decrease in purchasing power, and difficulties for market vendors.

Status quo

The economic activities of the municipality of San Jerónimo are agricultural, livestock, agroforestry, and service production, where the main economic activity that absorbs most of the labor force of the economically active population is agriculture, generating few employment opportunities for young people. According to data published in April 2024 by the National Institute of Statistics, the minimum wage ranges between Q102 and Q110 per day, and between Q3,124 and Q3,384 per month. As for the basic basket, in March 2024, the cost per person was Q842.33 in the urban area and Q650.90 in the rural area.

Currently, the Local Competitiveness Index in the municipality of San Jerónimo, according to a study carried out in 2023 by the Foundation for Development -FUNDESA- is at 46.85 points

Action

Implement and promote the Local Economic Development Plan called "San Jerónimo 2030", which aims to grow local economic growth that will result in the integral development of families opting for greater job opportunities from the use of tangible and intangible resources and assets, managing to provide its citizens with the best conditions to live,  seeking to promote the integral development of the territory.

How will the commitment contribute to solving the public problem described above?

n the year 2030 San Jerónimo offers its citizens the opportunity to live in a prosperous and developed municipality. The municipality has companies that generate jobs and human capital is trained to offer services physically or remotely nationally and globally. People use technology to improve the productivity of the municipality and generate a high level of differentiation in the activities that are carried out.

What long-term goal as identified in your Open Government Strategy does this commitment relate to?

With the implementation of the Local Economic Development Plan called "San Jerónimo 2030" supported by the open government policy, resulted in improving the quality and living conditions of the neighbors, generating economic opportunities that promote the economic recovery of the municipality that seeks that all people, especially those at risk of poverty and social exclusion,  have the opportunities and resources to participate in economic, political, social and cultural life.

Primary Policy Area

Safety Nets & Economic Inclusion, Social Accountability, Stimulus and Economic Recovery

Primary Sector

Private Sector, Other/NA

What OGP value is this commitment relevant to?