Guatemala Investment Proposal
Guatemala Investment Plans and Opportunities
Guatemala Bilateral Appointment
Guatemala Proposal
What are the proposals to invest in Guatemala?
Guatemala is presenting two investment programs worth US$409.9 million. The first investment program addresses the Development Routes program, starting with the municipality of Cobán, Alta Verapaz, through two components totaling US$338.9 million. The first component involves improving mobility through road infrastructure, at a cost of US$278.9 million. The second axis focuses on the coffee, cocoa, and cardamom value chains, which have high growth potential and a high capacity for rural job creation, for US$60.0 million. The second investment program focuses on expanding the coverage of irrigation systems in the Dry Corridor and Petén territories for the gradual implementation of the National Irrigation Policy, for US$ 71.0 million.
Why are they important?
Investments are focused on prioritized territories based on social criteria (vulnerability and poverty), economic criteria (high agricultural opportunities), and criteria for improvement (currently low production efficiency). The investment proposal focuses on specific opportunities that strengthen the links in the coffee, cocoa, and cardamom chains in the Cobán region, where their potential will be catalyzed by improved mobility thanks to government investment in rural roads. Investment in irrigation systems is also highly profitable as it will increase production volumes in territories with high agricultural potential, promoting the income and food security of the rural population and the social, economic, and environmental returns of agri-food systems.
Government support and counterparts
The total investment is US$409.9 million, with contributions from the government and potential beneficiaries estimated at up to US$325.1 million. These are counterpart investments, in which the government and beneficiaries will contribute just over 79% of the investments.
The required investment gap is US$84.8 million (21% of the total) with an estimated IRR of 21 to 23%.
Guatemala is presenting two investment programs worth US$409.9 million. The first investment program addresses the Development Routes program, starting with the municipality of Cobán, Alta Verapaz, through two components totaling US$338.9 million. The first component involves improving mobility through road infrastructure, at a cost of US$278.9 million. The second axis focuses on the coffee, cocoa, and cardamom value chains, which have high growth potential and a high capacity for rural job creation, for US$60.0 million. The second investment program focuses on expanding the coverage of irrigation systems in the Dry Corridor and Petén territories for the gradual implementation of the National Irrigation Policy, for US$ 71.0 million.
Why are they important?
Investments are focused on prioritized territories based on social criteria (vulnerability and poverty), economic criteria (high agricultural opportunities), and criteria for improvement (currently low production efficiency). The investment proposal focuses on specific opportunities that strengthen the links in the coffee, cocoa, and cardamom chains in the Cobán region, where their potential will be catalyzed by improved mobility thanks to government investment in rural roads. Investment in irrigation systems is also highly profitable as it will increase production volumes in territories with high agricultural potential, promoting the income and food security of the rural population and the social, economic, and environmental returns of agri-food systems.
Government support and counterparts
The total investment is US$409.9 million, with contributions from the government and potential beneficiaries estimated at up to US$325.1 million. These are counterpart investments, in which the government and beneficiaries will contribute just over 79% of the investments.
The required investment gap is US$84.8 million (21% of the total) with an estimated IRR of 21 to 23%.
Guatemala Geospatial Typologies
Agro-informatics connects information technology with the management, analysis and application of agricultural data to design more accurate and targeted agricultural interventions. The use of new technologies and techniques in agriculture, such as satellite imagery, remote sensing, and geographic information systems, enable the transformation of data into actionable information.
Poverty
Potential
Efficiency
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Government of Guatemala: Investment Cases
Guatemala Investment Cases and Interventions
Development Routes Investment Program, Municipality of Cobán, Alta Verapaz
Guatemala seeks to boost agricultural economic development by incorporating innovation, technology, infrastructure, and production support services, thereby contributing to the reduction of poverty and food insecurity through investments in the cocoa, cardamom, and coffee value chains. These products have high production potential in the municipality of Cobán, Alta Verapaz, which was prioritized for this investment program. In fact, in Cobán, more than 39% of the economically active population is engaged in agricultural activities, with the potential to cultivate 2,052 hectares for cocoa production, 9,985 hectares for cardamom production, and 4,173 hectares for coffee production.Coffee accounts for 33% of the country's agro-industrial exports, while cardamom accounts for 14%. Cocoa, an ancestral crop, has been present in the Guatemalan economy and society since pre-Columbian times, and its exports have grown by 98.7% between 2020 and 2024.
This investment of US$338.9 million, with a significant contribution from the government of US$278.9 million, projects a complementary economic development investment component of US$60.0 million, with an IRR of 23% and a NPV of US$23.8 million. It will reach 22,960 direct beneficiaries, 90,002 indirect beneficiaries, and have positive multiplier effects on the entire population of the municipality of Cobán, which numbers 250,434 people. It will address issues associated with climate fluctuations, limitations in value generation, disconnection from markets, and lack of productive infrastructure for value addition.
Access to irrigation infrastructure in the Dry Corridor and Peten
Guatemala seeks to boost agricultural economic development by incorporating innovation, technology, infrastructure, and production support services, thereby contributing to the reduction of poverty and food insecurity through investments
Contact
For more information, please contact the Hand-in-Hand team.