The Municipal Competitiveness Index (MCI) is a component of the USAID Municipal Competitiveness Project (MCP) of the United Stages Agency for International Development in El Salvador. The core methodology to implement the MCI has been previously employed in Asia where it has proven to be a valuable tool for promoting dialog and a healthy competition regarding local private sector development. In 2009, RTI International (RTI) and the Escuela Superior de Economía y Negocios (ESEN) adjusted the methodology to the context of El Salvador as part of the Municipal Competitiveness Index Project also supported by USAID.
The 2011 MCI is the second application of the methodology and as such it allows evaluating the changes in comparison to 2009 in the 100 most populated municipalities of the country. In addition to these 100 municipalities, the 2011 study included eight new municipalities which are part of the broadest initiative of the USAID Municipal Competitiveness Project and therefore, the 2011 MCI measurement was conducted in 108 municipalities. The new municipalities included in this second measurement are: Alegría, Caluco, Comasagua, Nueva Guadalupe, San Bartolomé Perulapía, Santa Cruz Michapa, Santa María Ostuma, and Talnique. The results of these eight municipalities are presented separately in the 2011 MCI report, where the data only provide information for the baseline concerning their performance, and therefore, they cannot be included in the ranking of the 100 municipalities.
After the first dissemination event held in San Salvador, the MCI team will continue disseminating the results of the Project to the key actors in each of the 14 departments of the country, including mayors and other local officials, business community members, and other interested organizations. The ICM objective is to provide openness for continuous constructive dialogs between the public and private sectors at the local level in order to improve the business environment and make progress on the decentralization agenda in El Salvador.
The 108 municipalities participating in the MCI represent 4.7 million inhabitants, equivalent to 82% of the total population of the country.
Methodology
In all aspects, the new measurement used the same methodology applied for the 2009 MCI in order to be consistent and maintain statistical comparability between both measurements. Therefore, both the Business Owner Survey and the Municipal Official Survey were conducted.
Sampling framework
The Business Owner Survey was conducted among 4,632 business establishments. For the purposes of validating the answers concerning procedures, documents, taxes and time, the municipality survey was conducted among officials of the 108 municipalities participating in the project.
Main finding
The USAID Municipal Competitiveness Index, 2011 MCI, showed that the 100 municipalities which participated in the 2009 MCI measurement improved their competitiveness level.
Just like the 2009 MCI, the new 2011 MCI measurement pointed out the existence of several competitiveness levels among the municipalities. Among the 100 municipalities evaluated in the 2009 MC, and also included in the 2011 MCI measurement, 5 reflected an Excellent performance; 49, High; 41, Average; and 5, Low performance. The new 8 municipalities that were incorporated to the 2011 MCI showed a LOW level of competitiveness (See 2011 Documents on this web page).
Dissemination and sustainability
After the first dissemination event held in San Salvador, the MCI team will continue disseminating the results of the Project to the key actors in each of the 14 departments of the country, including mayors and other local officials, business community members and other interested organizations. The MCI objective is to provide openness for continuous constructive dialogs between the public and private sectors at the local level to improving the business environment and making progress on the decentralization agenda in El Salvador.