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Lic. María Teresa de Rendón Executive Director - Plan Puebla Panamá Investment Opportunities in the Mesoamerican Region: Plan Puebla-Panamá

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Executive Direction Plan Puebla Panama Mesoamerican Region 113 million people 2,1 million Km 2 Estimate Regional GDP 2004: 236,400 millons Estimate mean GDP per capita 2005: US$ 5,500 Aproximate DFI 2005: US$ 10,332 millons 3 current FTA between México – Centroamérica 2 FTA between Colombia – Centroamérica in negociation Current RD CAFTA Negociation process with the European Union

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Introduction Central America: Belize, Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua y Panama South-southeastern Mexican States: Campeche, Chiapas, Guerrero, Oaxaca, Puebla, Quintana Roo, Tabasco, Veracruz y Yucatán Colombia: recently incorporated “Mesoamerica” has great potential for development, stemming from: It’s strategic geographical position, It’s ethnic and cultural diversity, and natural resources It also faces important challenges in order to confront historic social problems that not only influence the standard of living, but which also hinder the full development of it’s economic potential.

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Executive Direction Plan Puebla Panama …we work for …an integration that goes beyond the pursuit of typical physical infrastructure for development , incorporating within a greater strategy programs and projects of social and environmental scope that seek to contribute to the sustainable utilization of the natural resources of the region, the preservation of the ethnic and cultural diversity of the region, and the fulfillment of the objectives of development adopted within the Millennium Challenges.

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...its an important instrument to promote and strengthen the regional integration and the sustainable development in Mesoamerica because: It facilitates the establishment of consensuses and regional strategies at a governmental level and private sector It supports the progress in the business climate to encourage the private investment in regional projects It facilitates the financing and execution of regional projects It facilitates the cooperation of donors It constitutes a Regional Agenda of Development on the long term PLAN PUEBLA-PANAMA… Executive Direction Plan Puebla Panama

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The countries of the region implement processes of rehabilitation, improvement and enlargement of the infrastructure of transportation (highways, ports, airports, railroad, etc.), that somehow is coordinated at a regional level by: The International Network of Central American Highways (RICAM) The International Network of Central American Airfields (RIAM) Integral and sustainable systems of Ports of national and international service of Mesoamerica That are a part of the Mesoamerican Iniciative of Transportartion of the PPP What are we working on?

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Modernization of 16 Regional Corridor Roads Entire length of the Corridors: 12,604 km. PANAMÁ BELMOPAN SAN JOSÉ Cd. GUATEMALA TEGUCIGALPA Sto. Tomas Flores San Pedro Sula Quetzal Cutuco MANAGUA Limón La Ceiba Chetumal PUEBLA Coataacoalcos Villahermosa XPUJIL Tuxpan Tampico

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Presently we are evolving towards the conformation of Inter-oceanic Road Corridors. There are structured models of intermodal transportation that combine the port, airport and road way, that will mean opportunities of investment for the private sector. Promotion of 7 Inter-oceanic Road Corridors

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PANAMÁ BELMOPAN SAN JOSÉ Cd. GUATEMALA TEGUCIGALPA Sto. Tomas Flores San Pedro Sula Quetzal La Unión MANAGUA Limón La Ceiba Chetumal PUEBLA Coataacoalcos Villahermosa XPUJIL Tuxpan Tampico Public - Private Association Mechanisms are being promoted The viability of impelling the railroad, its being evaluated, as well as the connection of both oceans or a regional one: Panama / Mexico The private sector is involved in processes of International Tenders to rehabilitate, support, extend and construct highways. Also there are experiences in the region in authorizations of highways at national level and port and airport services Puerto Cortés Acajutla La Libertad Corinto Puerto Barrios Puntarenas Colón Salina Cruz Promoting private investments in the region

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REGIONAL AIRPORT NETWORK - MAIN AIRPORTS SOUTH –SOUTHEAST GROUP 1. Veracruz 2. Minatitlán 3. Villahermosa 4. Zihuatanejo 5. Acapulco 6. Oaxaca 7. Huatulco 8. Tapachula 9. Mérida 10. Cancún 11. Cozumel 1 2 7 3 5 4 8 6 15 17 21 13 12 14 25 18 23 20 26 9 10 19 11 16 24 22 CENTRAL AMERICA GROUP 12. Belice 13. Mundo Maya 14. La Aurora 15. Comalapa 16. Ilopango 17. Tocontin 18. San Pedro Sula 19. Roatán 20. La Ceiba 21. Managua 22. Daniel Obuder 23. Limón 24. Tobías Bolaños 25. Juan Santamaría 26. Panamá COLOMBIA GROUP 27. Cartagena 28. Barranquilla 29. Bucaramanga 30. Bogotá 31. Medellín 32. Pereyra 33. Cali 32 33 31 30 29 27 28

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To reinforce the relations between the countries of the region, it is essential to coordinate a plan for the financing, construction, improvement, rehabilitation and maintenance of the infrastructure and marine port services, which fits to the requests of the national and international traffic and to the international safety, simplification and environmental standards Implement an integral and sustainable development system of the marine transportation, its services and the port infrastructure Incentives and development of the marine navigation: human life safety, marine protection, load and ships safety, navigation supports, prevention of the contamination, etc. Development of port infrastructure: ports of height, minor and of cabotage; marinas, tourist moorings, protection and overcoat works. The Central American Network Port is created. It is foreseen the harmonization of regulations of the marine transportations and the creation to a subcommittee in this theme. AGREEMENT IN THE MARINE PORT TOPIC

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REGIONAL NETWORK PORT - MAIN MARINE PORTS SOUTH –SOUTHEAST GROUP 1. Coatzacoalcos 2. Dos Bocas 3. Progreso 4. Salina Cruz 5. Puerto Chiapas 1 2 7 3 5 4 8 6 15 17 21 13 12 14 25 18 23 20 26 9 10 19 11 16 24 22 CENTRAL AMERICA GROUP 6. San José - Quetzal 7. Barrios 8. Santo Tomas 9. Belice 10. Puertos Cortes 11. Tela 12. La Ceiba 13. Castilla 14. Roatán 15. San Lorenzo 16. Acajutla 17. La Unión 18. Corinto 19. Sandino 20. San Juan 21. Puerto Cabezas 22. El Bluff 23. Arlen Siu 24. Puntarenas 25. Caldera 26. Limón / Moín 27. Chiriquí grande 28. Armuelles 29. Colon 30. Manzanillo 31. Panamá 32. Balboa COLOMBIA GROUP 33. Buenaventura 34. Tumaco 35. Cartagena 36. Barranquilla 37. Santa Marta 32 33 31 30 29 27 28 34 35 36 37

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To reinforce the relations between the countries of the region, it is essential to coordinate plan for the construction, improvement, rehabilitation and maintenance of the Airfields that conform the regional Network, for what it is necessary to propitiate and to encourage the development of the local and international traffic in the region. Support investments in the Primary national Network of International and National Airfields that every country has included Support processes of international Airfields certification Support air navigation safety Opening to the air transportation and services markets that will facilitate the subscription of commercial agreements Regional strategies to allow the advancement in air integration, and to improve the competitiveness of the region AGREEMENT IN THE REGIONAL AIR TOPIC

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Because of the market dynamism and the globalization, it’s essential for the Mesoamerican countries, the establishment of transportation chains and logistic networks, which will help raise the level of competitiveness, and will allow: Work efficiently the markets and in the international commerce arenas Link the global markets with the infrastructure and transportation services, efficiently and safely Increase the levels of revenue and productiveness of the national economy INTERMODAL TRASPORTATION

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European Market Asian Market NAFTA Market South American Market We want to advance towards the integration of a Transportation Regional System, with an efficient and safe infrastructure and competitive services. This will improve the commerce and position the products on the consumption markets, and will allow competition on a global scale. The development of multimodal corridors will link us to the rest of the world.

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Panamá Managua San José Cd. Guatemala Tegucigalpa San Salvador Los Brillantes Fortuna Bayano Belmopan Tapachula Angostura Chicoasen Malpaso Nuclear Laguna Verde A Ciudad de México Cancún Mérida Chixoy Interconnection GU-MX Interconnection GU-BL Interconnection Panamá - Colombia León The conformation of the Electrical Regional Market advances with the regulatory framework, the institutionalization and beginning of the construction of regional transmission line (1,830 km. and 15 substations) The interconnection Guatemala / Mexico (100 km) and the reinforcements of the national systems There are impelled programs of rural electrification that includes works of transmission and distribution networks that allow to increase the electrical coverage. The potential of renewable energy, both at national and regional level, are mapped. SIEPAC Executive Direction Plan Puebla Panama

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Panamá Managua San José Cd. Guatemala Tegucigalpa San Salvador Los Brillantes Fortuna Bayano Belmopan Tapachula Angostura Chicoasen Malpaso Nuclear Laguna Verde A Ciudad de México Cancún Mérida Chixoy Interconnection GU-MX Interconnection GU-BL Interconnection Pan - Col León SIEPAC Demand growth rates are above 6% per year, on a market demand superior of 8,000 MW. There are incentives on renewable energy in several countries of the region There is a portfolio of hydroelectric and geothermic projects The shape of the Electrical Regional Market will give opportunity to the project installation of generation in regional scale, that is to say to supply the regional market. The companies can take part in processes of international tender for construction of works. Executive Direction Plan Puebla Panama

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Cd. PEMEX Proyecto 1: Gasificación de Centroamérica The tender process for the construction and operation of a Regional Refinery, with capacity to process 355,000 daily barrels Future tender for the construction of a thermoelectric Regional Plant (cogue) with a capacity superior to 500 MW Feasibility Studies are being prepared to construct a regional Gas pipeline. There are International Agreements that will facilitate investments Central America Integration Energy Program Interconnection gasífera Panama/ Colombia in study. Executive Direction Plan Puebla Panama

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Panamá Nicaragua Costa Rica Guatemala Honduras El Salvador Belize The construction of a regional network of optical fiber is being promoted (Central American Information Freeway): 1,830 km. The construction of a national NAPs and a regional one; a network of rural telecommunications at a regional scale; and The Society of the Information, are being promoted. Executive Direction Plan Puebla Panama

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Two Instances have been created in the PPP framework, that are important to mention: Central American Competitiveness Council: it is a permanent forum of consultation and discussion, between the private and public sectors of the region. It guides the establishment of priorities that the region must face to improve the competitiveness. It will pursue the adoption of commitments the members made. It takes into account the ideas raised in the Central American Agenda for the XXI century, as well as the strategy of development of the south -southeast states of Mexico Central American Human Development Council: conformed by the Ministers of human and social development of Central America and Mexico, with the purpose to articulate the components of the IMDH from a multi-sectorial perspective, and to preserve cross-cutting issues of human development in the rest of the Initiatives of the Plan. Executive Direction Plan Puebla Panama

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We seek a Sustainable Development Sustainable Development Economic Sustainability Economic growth Development Productiveness Revenue Distribution Environmental Sustainability Load Capacity Resources Conservation Biodiversity Social Sustainability Cultural identity Auto-development and Determination Access Stability Equity Executive Direction Plan Puebla Panama

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In the Initiative of Human Development we concentrate efforts on projects of health (Epidemiologic Vigilance), education, labor training, migration. In the Initiative of Sustainable Development we impel projects on natural resources protection, cleaner production, agro-business, and others. In the Initiative of Prevention and Mitigation of Natural Disasters we promote the Central American Risk Atlas, training on vulnerable communities We Believe in a Social and Human Development Executive Direction Plan Puebla Panama

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Licda. María Teresa de Rendón, Directora Ejecutiva m.rendon@planpuebla-panama.org mtrdeppp@navegante.com.sv (503) 22615444 / 22609176 Executive Direction Plan Puebla Panama

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