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Maria Ramirez Uribe
By Maria Ramirez Uribe January 8, 2025

Biden found compromise in promise to invest $4 billion in Central American to mitigate immigration

During his 2020 campaign, President Joe Biden promised to provide financial assistance to Guatemala, Honduras and El Salvador, also known as the Northern Triangle countries, because of their location in Central America. Specifically, Biden's campaign website said Biden would "propose a four-year, $4 billion package of assistance for the region."

On his first day in office, Biden proposed an immigration bill that included $4 billion for the Northern Triangle countries to mitigate the factors pushing people to migrate to the United States.

In May 2021, Democrats in Congress introduced the bill, which would have appropriated $1 billion a year. Half the money could be used immediately toward the initiative's goals. The remaining money would be available after the U.S. determined that the respective foreign governments had taken steps to address corruption and adopted policies and programs to reduce poverty and counter violence.

Although Democrats narrowly controlled both the House of Representatives and the Senate during Biden's first two years, the bill stalled.

In March 2021, Biden tasked Vice President Kamala Harris with leading U.S. diplomatic efforts and working with officials in Mexico, Guatemala, El Salvador and Honduras to stem migration to the U.S. Biden had a similar task under former Barack Obama's administration and secured $700 million to help Central American countries address the problems that drove people toward the United States.

In April 2021, Harris said the U.S. government would provide $310 million in urgent relief "to help address the acute factors of migration, including from hurricanes, the pandemic, and drought caused by climate change."

In July 2021, the White House published a strategy to address the factors that drive people to migrate from Central America. As part of the strategy, the White House said it would work with private companies to secure financial investments for the region. It also said $250 million of the $310 million had been allocated.

As of March 2024, the White House's partnership had secured $5.2 billion from the private sector; companies such as MasterCard, Gap and Meta were among the investors. The money included construction projects to create jobs, small-business loans and job training. However, only about $1 billion has been distributed, Partnership for Central America, a group working with the administration, reported in March 2024, its latest quarterly update.

The White House reported in March that  the investments have generated more than 70,000 new jobs in Guatemala, Honduras and El Salvador, provided job training to 1 million people and expanded internet access to 4.5 million people. 

Biden secured more than $5 billion in private financing for Central America and more than a billion dollars have been distributed. However, most of that money came from private organizations. Biden did not manage to get the $4 billion federal assistance package he had promised. We rate this Compromise.

Miriam Valverde
By Miriam Valverde May 24, 2021

Democratic bill moves forward Biden’s pledge to invest $4 billion in Central America

Democrats in Congress introduced an immigration bill that would help President Joe Biden deliver on his promise to invest $4 billion in Central America to mitigate the factors pushing people to migrate to the United States.

The U.S. Citizenship Act of 2021 seeks a total of $4 billion for fiscal years 2022 to 2025 to address the corruption, violence and poverty in El Salvador, Guatemala and Honduras that have long prompted people to leave their homes and seek asylum in the U.S.

The Biden-backed proposal outlines a 4-year initiative — the U.S. Strategy for Engagement in Central America — and requires the collaboration of U.S. agencies, foreign governments and civil organizations that promote human rights.

The bill sets conditions for a portion of the funds: up to 50% of the money appropriated in each fiscal year could be used on day one toward the initiative's goals. But the remaining 50% would be available only after the U.S. determines that the respective foreign governments have taken steps to address corruption, implemented policies and programs to reduce poverty and counter violence, among other measures that improve safety and quality of life.

The U.S. Citizenship Act also directs the State and Treasury departments to secure financial and technical assistance from international donors to support the U.S. strategy. The proposal orders administration officials to create and push public information campaigns in Central America to discourage illegal immigration and to provide accurate information about U.S. immigration laws and policies.

The plan also proposes a pathway to citizenship for millions of immigrants living in the United States illegally. Although the bill has been referred to several House committees, its passage appears unlikely without sufficient support from Republican lawmakers in both chambers of Congress.

Separately, the Biden administration earlier this year said it would provide $310 million in emergency aid to Guatemala, Honduras and El Salvador to help farmers and mitigate the impact of drought, food shortages and the COVID-19 pandemic.

Biden promised $4 billion in assistance to Guatemala, Honduras and El Salvador. Democrats have introduced a bill toward that goal, but the promise remains unfulfilled. We rate it In the Works.

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