El Salvador Compact Monitoring & Evaluation

Projected Results by End of Compact

The El Salvador Compact aims to achieve the results below by the end of the Compact in September 2012:

  • Reduce the poverty rate in the Northern Zone by 8 percentage points by 2017 (this targets extends 5 years beyond the end of the Compact)
  • Increase electricity coverage in the Northern Zone from 70 percent to a minimum of 97 percent, and
  • Reduce the time required to travel from Guatemala to Honduras through the Northern Zone by 50 percent.

Results to Date

Information on results to date is available in the Table of Key Performance Indicators (a subset of the full set monitored under the El Salvador Monitoring and Evaluation Plan). The full set of performance indicators is detailed in the final Compact Monitoring and Evaluation Plan. The Post-Compact Monitoring and Evaluation Plan includes a smaller subset of indicators that MCC requires partner countries to report as the Compact closes.

Impact Evaluation Framework

In addition to careful monitoring of implementation performance and measurement of preliminary results, MCC is funding independent evaluations that will assess what would have happened in the absence of the MCC investments and measure the gains in incomes that can be attributed specifically to MCC-funded activities. Read more about the evaluations of the education, water and sanitation, electrification, productive development, and connectivity activities.

Projected Long Term Results

Projected Long Term Results
Timeframe Estimated Beneficiaries Estimated Benefits
Not specified 706,335

MCC considers beneficiaries of projects to be those individuals who realize improved standards of living, primarily through higher incomes, as a result of economic gains generated by MCC-funded projects.

$276,837,800

(2008 USD) "Estimated Net Benefits" is the sum of all projected net benefits accruing over the life of the project, typically 20 years, evaluated at a 10% discount rate. Estimates are reported in millions of U.S. dollars in the year that the ERR analysis was completed.

Projected Long Term Results by Project

Projected Long Term Results by Project
Project Estimated Beneficiaries Estimated Benefits
Formal Technical Education Sub-Activity 7,831 $-3,572,710
Formal Technical Education Sub-Activity 16,445 $4,041,443
Formal Technical Education Sub-Activity 25,052 $4,264,050
Non-Formal Skills Development Sub-Activity 20,065 $7,818,000
Non-Formal Skills Development Sub-Activity 12,965 $2,488,120
Non-Formal Skills Development Sub-Activity 23,267 $1,148,738
Water and Sanitation Sub-Activity 140,000 $3,738,810
Water and Sanitation Sub-Activity 173,132 $-4,477,480

Any project with an ERR below 10 percent will result in negative net benefits – this is one reason why MCC now uses a 10 percent “hurdle” rate for project ERRs when making investment decisions – a different hurdle rate was in place at the time this compact was developed.

Water and Sanitation Sub-Activity 33,516 $-5,869,102
Rural Electrification Sub-Activity 207,270 $23,228,000
Rural Electrification Sub-Activity 104,031 $13,724,650
Rural Electrification Sub-Activity 160,770 $15,720,700
Community Infrastructure Sub-Activity 92,923 $156,923
Community Infrastructure Sub-Activity 92,923 $2,011,000
Community Infrastructure Sub-Activity 92,923 $530,000
Production and Business Services Activity Not done $88,309,168
Production and Business Services Activity 61,729 $38,126,800
Investment Support Activity N/A N/A
Investment Support Activity Not done $2,378,831
Financial Services Activity N/A N/A
Connectivity Project
Objective

Reduce travel cost and time within the Northern Zone, with the rest of the country, and within the region by:

  • Designing, constructing, and rehabilitating secondary roads on the Northern Transnational Highway.
600,000 N/A
Connectivity Project
Objective

Reduce travel cost and time within the Northern Zone, with the rest of the country, and within the region by:

  • Designing, constructing, and rehabilitating secondary roads on the Northern Transnational Highway.
533,677 N/A
Connectivity Project
Objective

Reduce travel cost and time within the Northern Zone, with the rest of the country, and within the region by:

  • Designing, constructing, and rehabilitating secondary roads on the Northern Transnational Highway.
533,677 $192,759,102