El Salvador Compact

Projected Long Term Results
Project Estimated Beneficiaries Estimated Benefits
Human Development Project 243,395 $102,967,000
Connectivity Project 644,190 $185,230,000
Productive Development Project 47,600 $78,510,000

The above estimates are based in the best, currently available, information and may be updated if new, reliable, data are available.

The total beneficiary count for the Compact may not be the sum of the different project beneficiary counts because of overlaps between Projects. In other words, some beneficiaries benefit from more than one project but are counted only once in the total beneficiary count.

Total benefits expected from each project are obtained from the ERR analysis MCC conducts during due diligence. Beneficiary counts, although consistent with benefit streams identified in the economic analysis, are not necessarily derived from these models (which are concerned with costs and benefits rather than beneficiaries). MCC estimates and reports expected beneficiaries when sufficiently reliable data exists to support the estimation. If such evidence is lacking, no estimation is attempted, resulting in an underestimation of projected beneficiaries for the Compact. Calculating the amount of benefit per beneficiary would therefore give an overestimation and can be misleading.

Project Objectives
Project Objective
Human Development Project

Increase human and physical capital of residents of the Northern Zone to take advantage of employment and business opportunities by:

  • Providing both formal and non-formal technical vocational education;
  • Providing improved access to potable water systems and sanitation services;
  • Increasing electricity coverage in the Northern Zone, and
  • Constructing and improving community infrastructure.
Connectivity Project

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.
Productive Development Project

Increase production and employment in the Northern Zone through:

  • Technical assistance to farmers and small businesses;
  • Capital investment to selected applicants for commercial activities;
  • Credit guarantees and technical assistance to financial institutions, and
  • Crop insurance to small producers in the Northern Zone.

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.