Outcome GTM_D_2.1

By 2025, the Guatemalan State will increase the access of the prioritized population to decent work, productive means, and economic services at the national and local levels, adequate for competitiveness and the climate business, within a framework of inclusive, sustainable, socio-economic development. (UNSDCF Pillar 1. Economic development. Outcome 1.1.)

UN Women Guatemala in 2022, made satisfactory progress towards the economic empowerment of women, through the promotion of better policies, plans and strategies to promote job opportunities and income generation for women. The three main results of the year being: the launch of the Trifinio Institutional Policy for Gender Equality, the formulation of the project for the formalization of the National Alliance for the Economic Empowerment of Women and the expansion of the number of private companies committed to address gender gaps. The Trinational Commission of the Trifinio Plan launched the Institutional Policy for Gender Equality as part of the actions prioritized by the Vice Presidents of El Salvador, Guatemala, and Honduras. The Policy seeks to contribute to inclusive and sustainable development in the Trifinio Plan, by mainstreaming gender equality in its work for the next five years. The policy was technically and financially supported by the Women’s Local Economy and Territory Program (MELYT) with funding from the Italian Cooperation Agency (AICS) and implemented by UN Women El Salvador, Guatemala, and Honduras. Honduras, El Salvador, and Guatemala Women’s Network (HOSAGUA) and UN Women’s Guatemala supported the construction and validation of this process. In addition, The Ministry of Economy -MINECO- of Guatemala prepared a project document for the formal creation of the National Alliance for the Economic Empowerment of Women thanks to the direct technical support of UN Women through personnel financed with CORE resources, the project contains a framework of results defined for the years 2023-2025 and includes the budget designation and human resources of the Ministry for its implementation. Although the document was finalized in 2022, it is expected to be approved by the Guatemalan Secretariat for Planning and Programming of the Presidency (SEGEPLAN) in the first quarter of 2023. Moreover, a virtual Platform for the collection, analysis, and visibility of the contributions of the Alliance signatories was designed by the Ministry of Economy and UN Women https://empoderamientoeconomi co.org/. The creation of the alliance has the potential to benefit at least 2.8 million women who are active in the economy. Concerning the private sector, 7 new companies have signed the seven Principles for the Empowerment of Women (WEPs) in Guatemala during 2022, for a cumulative total of 45 Guatemalan companies committed to promoting gender equality and the empowerment of women in the workplace, the market and the community thanks to the alliance between the Global Compact and UN Women. One of the lessons learned during 2022 is that the strategy of forming alliances with state entities, the private sector, academia, international cooperation, and Civil Society Organizations, allows for the sum of efforts and work around a common objective, increasing the multiplier effect of actions to advance towards economic empowerment of women. It is important to mention that the Theory of Change of this result is part of the 2022-2025 Strategic Note of the Country Office, which was formulated and approved in 2021.

By 2025, the Guatemalan State will increase the access of the prioritized population to decent work, productive means, and economic services at the national and local levels, adequate for competitiveness and the climate business, within a framework of inclusive, sustainable, socio-economic development. (UNSDCF Pillar 1. Economic development. Outcome 1.1.)

UN Women Guatemala is making satisfactory progress to achieve the goal that women and girls participate fully and equitably in leadership and decision-making and benefit from gender-sensitive governance. During 2023, the following results stand out. Implemented for the first time in the country, the “Protocol to address violence against women in the political and electoral sphere” in the 2023 elections , thanks to the technical support provided by UN Women and the International Foundation for Electoral Systems (IFES) to Supreme Electoral Tribunal (TSE); A process that began in 2021 when the update of the Gender Equality Policy was supported, continued in 2022 with the development and launch of the protocol, and in 2023 its dissemination and implementation was supported. Concerted agenda for the advancement of women's rights in Guatemala. A space for dialogue was generated between women leaders of Civil Society Organizations and women elected as deputies and mayors through the National Consultation Meeting, called “From and For Us” held in December 2023, where the participation of 66 female leaders; With 44 women representing 27 Civil Society Organizations from across the country and 22 deputies, mayors and advisors of the new local government elected for the period 2024-2028. Within the framework of the Meeting, the participants developed an agreed agenda on priorities, for the advancement and recognition of women's rights, to be promoted in the next period. This achievement was achieved thanks to UN Women within the framework of the implementation of the project, Participate Women, financed by the European Union. Supported the significant representation of more than 50 women's organizations in the electoral update and modernization mechanism (CAME) . UN Women contributed to the coordination and definition of joint strategies between the Supreme Electoral Tribunal, women's organizations/networks and organizations of people with disabilities, among which are the Alliance of Women and Indigenous Women, the Women's Political Agenda, the Forum National Women for Peace and the Indigenous Women's Platform, which ensure the significant representation of more than 50 women's organizations in the electoral updating and modernization mechanism (CAME). Supported the III International Black Feminism Meeting held in Livingston – Izabal, in the month of June supported by UN Women. The event included the participation of 60 Garifuna and Afro-descendant women from Guatemala, Honduras, El Salvador, Nicaragua, Costa Rica, Mexico, Panama and Colombia; The participants were able to establish a joint work agenda. One of the outstanding lessons learned from the year is the importance of strengthening communication in a multicultural manner, addressing diversity and intersectionality in a comprehensive manner . This aspect becomes especially relevant when considering the territorial approach, underlining the importance of inclusive communication that reflects and respects the different cultural realities present in each context, therefore, improving communication from this perspective can strengthen relationships and effective participation in communities. Finally, it is worth mentioning that the Theory of Change of this result, registered in the 2022-2025 strategic note of the Guatemala Country Office, continues.

SN Outcome 2. By 2025, the Guatemalan State will increase the access of the prioritized population to decent work, productive means, and economic services at the national and local levels, adequate for competitiveness and the climate business, within a framework of inclusive, sustainable, socio-economic development. (UNSDCF Pillar 1. Economic development. Outcome 1.1.)

The Government of Guatemala has committed to women's financial inclusion as a key step toward advancing their economic empowerment. This commitment is reflected in regulatory changes made by the Ministry of Economy (MINECO), including the issuance of the Financial Support Policy for the Economic Empowerment of Women Entrepreneurs and/or Owners of Micro and Small Enterprises (PAFEEMIPE) and Resolution CN-R-5-2024 of the National Council for MSME Development, which authorizes the creation of a financial instrument under the "Micro, Small, and Medium Enterprise Development Fund" trust. The process began in the first quarter of 2024 through a strategic partnership between UN Women and the new government officials at MINECO, which was formalized with the approval of a joint roadmap. Within this framework, the following outputs were achieved: First, the approval of the "Financial Support Policy for the Economic Empowerment of Women Entrepreneurs and/or Owners of Micro and Small Enterprises (PAFEEMIPE)", which aims at providing credit to women entrepreneurs for working capital through the "Micro, Small, and Medium Enterprise Development Fund" trust. This fund will have a total of 75 million quetzales (equivalent to approximately $9,700,000 USD) to facilitate women's access to financial services, boost their participation in the formal economy, and reduce the existing gender gap in the business sector. This achievement, made possible through the leadership of the Vice Ministry for Micro, Small, and Medium Enterprise Development at the Ministry of Economy (MINECO) and the technical assistance provided by UN Women, ensured the mainstreaming of the gender perspective in: (i) The design of the PAFEEMIPE Policy; (ii) The restructuring of the trust (modification, expansion, and unification deed); and (iii) The capacity-building of the MINECO technical team leading the implementation of this financial instrument. Second, the approval of the National Financial Inclusion Strategy (ENIF) 2024-2027 by the Financial Inclusion Commission (COMIF), whose development in 2023 was led by the Central Bank of Guatemala, the Ministry of Economy, and the Superintendency of Banks, with technical support from UN Women. Ongoing technical assistance facilitated its official approval in March 2024 and its launch in June 2024 at a high-level event presided over by the President of the Republic. Notably, the National Financial Inclusion Strategy prioritizes women’s financial inclusion as one of its four strategic pillars, ensuring a comprehensive approach to reducing gaps and promoting women’s access to financial services. As part of the ENIF implementation, UN Women introduced the methodology of the "CoLaboratory for Women's Financial Health Innovation Network", designed by the UN Women Regional Office for Latin America and the Caribbean. This methodology proposes the creation and strengthening of an ecosystem composed of financial and non-financial actors collaborating in the co-creation of comprehensive and innovative solutions to promote women's financial health. During this event, the Executive Secretary of the National Financial Inclusion Strategy (ENIF), Dr. Héctor Valle, recognized UN Women as an expert institution in financial inclusion and highlighted the importance of its technical support in implementing the strategic pillar focused on women's financial inclusion. Third, the regional knowledge exchange on gender-responsive financial inclusion through the "5th Central American Forum on Financial Inclusion: Towards an Integrated and Innovative Ecosystem," led by UN Women on October 16-17, 2024. This forum brought together 159 representatives from the financial ecosystems of Guatemala, El Salvador, and Honduras, with the collaboration of regional programs such as Women, Local Economy, and Territories (MELYT II) and Inclusive Financial Ecosystem (EFI), funded by AICS and the Luxembourg Directorate for Development Cooperation, respectively, in partnership with the CABEI and the Central Bank of Guatemala. Additionally, within this framework, UN Women facilitated private meetings between the Vice Minister for MSME Development at MINECO and international initiatives, including the Global We Finance Code from the Dominican Republic and the Development Finance Agency of Paraguay, to share best practices and lessons learned. With these advances, it is expected that in the near future, women in Guatemala will have greater opportunities to access financial services that boost their participation in the formal economy. The implementation of the National Financial Inclusion Strategy (ENIF) and the Trust Fund is expected to not only reduce gender gaps in access to financing but also to generate a significant impact on the country's inclusive economic growth, fostering the economic autonomy of thousands of women entrepreneurs and strengthening Guatemala’s business ecosystem.