The vice president of CEOE and president of the Institute of Economic Studies (IEE), Íñigo Fernández de Mesa, spoke at the Brazil-Spain seminar: “Building the systemic collaboration Brazil-Spain: investments and business opportunities in the post-pandemic scenario”, organized by the Embassy of Brazil and the Spain-Brazil Council Foundation, with the support of Casa de América. High-level representatives of governments and the private sector from both countries participated in the event.

The day was divided into two panels. The first one focused on offering the government vision of Brazil and Spain about the priorities and challenges of economic recovery in the post-Covid context; while, in the second, the perspectives of the private sector of both countries on bilateral economic and trade relations were presented, including the Mercosur-EU agreement and Brazil's entry into the OECD.

The conference was opened by the Director General of Economic Diplomacy of the Ministry of Foreign Affairs, European Union and Cooperation, Luis Moreno; the president of the Spain-Brazil Council Foundation and CEO of Mapfre S.A., Antonio Huertas; the director of Casa de América, Antonio Pérez-Hernández; and the Brazilian ambassador to Spain, Pompeu Andreucci Neto.

In the first panel of the seminar, which was presented under the slogan: “Priorities and remains in the post-pandemic scenario: a governmental vision”, the assistant executive secretary of the Ministry of Mines and Energy, Bruno Eustáquio; the special assistant secretary for External Relations of the Executive Secretariat of the Civil House, Pedro Florêncio; the director of the Department of Structuring and Articulation of Associations of the Ministry of Infrastructure, Fábio Rogério Teixeira Dias de Almeida Carvalho; the Secretary for Transportation Associations of the Investment Associations Program, Thiago Costa Monteiro Caldeira; and the director of the Department for the Promotion of Services and Industry of the Ministry of Foreign Affairs, Ambassador Luiz Cesar Gasser.

In turn, in the second panel, entitled: "Perspectives of economic and trade relations Brazil-Spain: a vision of the private sector", participated the vice president of CEOE and president of the Institute of Economic Studies (IEE), Íñigo Fernández de Mesa ; the Director of Strategy and Corporate Affairs at Telefónica, Eduardo Navarro; the vice president of the Euroamérica Foundation and counselor of the Economic and Social Committee of the European Union, José Ignacio Salafranca; the Ibero-American Deputy Secretary, Ambassador Marcus Vinicius Pinta Gama; and the director of Industrial Development of the National Confederation of Industry of Brazil (CNI), Carlos Eduardo Abijaodi. The day was closed by the Brazilian Ambassador to Spain, Pompeu Andreucci Neto.

Bilateral relations: vision of the private sector

In his speech, the vice president of CEOE and president of the IEE, Íñigo Fernández de Mesa, highlighted that Brazil constitutes a key market for Spanish business interests, as it represents 40% of Latin American GDP; and praised the excellent bilateral relations, at the economic, commercial and institutional level. In this sense, Fernández spoke of the close collaboration between CEOE and its Brazilian counterpart, the National Confederation of Industries (CNI), with which it has organized, and will continue to do so, a large number of joint activities in recent years.

Spanish companies, Fernández said, have a large presence in sectors such as telecommunications, financial services, metallurgy and energy supply. And it has also identified, he added, numerous opportunities in infrastructure, management of water resources and the environment, gas and mining, automotive, agri-food and tourism.

Cooperation with the CNI, he stressed, also extends to the international and regional sphere, in Latin America and in Europe, through the relationship between both organizations in the defense of business interests within the International Organization of Employers, Global Business Coalition and Business at OECD. As well as through participation in business meetings held within the framework of the Ibero-American Summits of Heads of State and Government, and whose present edition will take place in Andorra in April 2021.

Íñigo Fernández made reference to the important role played by the Council of Ibero-American Entrepreneurs (CEIB), an institution backed by the International Organization of Employers (OIE), which brings together the 24 most important business organizations in all of Ibero-America, among which are of course Find the National Confederation of Industries (CNI) of Brazil. In this sense, he assured, such is the collaboration that unites us that, within the framework of the Ibero-American Forums of the MIPYME, which CEIB was going to organize together with the SEGIB, the fourth edition of the Forum with the support of the CNI. It was initially scheduled to be held in April 2020 in Brasilia and had to be postponed as a result of the pandemic, on a date yet to be determined.

The CEOE vice president recalled that on September 14, in his speech during the Forum "Ibero-American Dialogue – Thinking about SMEs first", organized by the CNI, SEBRAE, CEIB and SEGIB, highlighted the need to take care of small and medium-sized companies in the Region, given that they represent most of the Ibero-American business fabric and are responsible for most of the job creation. It considered crucial for its survival, to establish a regulatory framework that provides certainty, support the liquidity of SMEs and improve their access to financing, as well as avoid tax increases that further penalize companies that normally do not have as many reserves as large ones.

In the current context, and especially as a result of the pandemic, Fernández opted to promote the digitization of companies at all levels, avoiding the generation of more taxes, without increasing the tax burden, without higher costs or bureaucratic burdens and creating a framework attractive legal system, which includes legal certainty. He also explained that this process must be accompanied by the digitization of the Public Administration. On the other hand, he insisted on the importance of complementarity between companies from both countries, a model that should be based, in his opinion, on their internationalization. In this sense, the CEOE vice president highly valued the reforms announced by the Brazilian government, which focus on fiscal balance, opening up and improving competitiveness, reducing the unnecessary role of the public sector to free up the private sector, and various measures aimed at improving "Economic Freedom."

At the international level, Fernández continued, we businessmen value the support given by the Brazilian government to multilateralism. For this reason, he highlighted the government's support in promoting negotiations to secure the signing of the association agreement between the EU and Mercosur. An agreement, he stressed, that not only provides for a tariff disarmament, but also incorporates transcendental chapters in the areas related to investments, services, public procurement, intellectual property, regulatory cooperation or sustainability, aspects that, without a doubt, they form the basis of fruitful and productive business relationships, creating opportunities and favoring the diversification of supply chains.

Entrepreneurs, he stressed, have also welcomed with great satisfaction the request of the Brazilian government to join the OECD, an initiative that should have the full support of the European Union and Spain, as it would mean adapting the regulatory framework to the more demanding standards and the incorporation of Brazil into the group of the most advanced countries in the world.

In short, in Íñigo Fernández's opinion, the presence of our companies in both countries, promoting and maintaining investment, and working for a regional agreement such as MERCOSUR, should be priority issues for both Brazil and Spain. "It is not a one-day job, but a work of continuity, effort and enthusiasm to materialize the commitments of the business sector and the public sector together for the economic and social development of both countries," he concluded.

On the second and last day of the virtual Forum: "Digital transformation, a scenario for the future in Ibero-America", it was possible to know first-hand the vision shared by government authorities of Central American countries; the highest representatives of institutions such as CENPROMYPE, COMTELCA or ASIET; and the presidents of the business organizations of the Dominican Republic, Honduras, Guatemala or Panama, on this trend that has exponentially accelerated in the months of the pandemic.

The event was opened by the vice president of CEOE and president of CEPYME, Gerardo Cuerva; the Secretary General of the International Organization of Employers (IOE), Roberto Suárez; his counterpart in the Secretariat for Central American Economic Integration-SIECA, Melvin Redondo; the manager of the Private Sector of the Central American Bank for Economic Integration-CABEI, Sabino Escobedo; and the Secretary General of the International Chamber of Commerce, John Denton.

During the day, which was divided into two panels, digital technologies were addressed as a fundamental tool to bridge existing productivity gaps and a source of opportunities for entrepreneurs and SMEs that develop new business models; public initiatives for the digital transformation of production were presented; and the role that Central American business organizations play in this area was valued in order to respond to the crisis generated by Covid.

Opening

The vice president of CEOE and president of CEPYME, Gerardo Cuerva, highlighted the work of the OIE, an organization that brings together more than 150 business organizations from 140 countries around the world, for its commitment and defense of business interests. Referring to the Forum, Cuerva insisted that the conferences held on the 17th and 18th represent a clear example of public-private collaboration and the intense activity that has been carried out by CEIB, SEGIB and FIJE since the beginning of the pandemic. And, as president of CEPYME, he highlighted the important role of MSMEs in the Central American region, which represent most of the region's business fabric. In this sense, he mentioned a report prepared by the OECD and the World Bank, in collaboration with Facebook, published in July 2020, from which it appears that a third of the small companies surveyed reported a reduction in the workforce as a result of the pandemic, and 26% of companies globally had to shut down completely from January to May. In some countries, 50% of companies were forced to close, he added. Cuerva also referred to non-performing loans as another major obstacle encountered by MSMEs, since according to a Barometer of Delinquencies prepared by CEPYME between mid-September and mid-October, 57% of the small and medium-sized Spanish companies consulted anticipate increase in delinquencies as a result of the crisis generated by the Covid. "In fact, 50% of those who are in arrears anticipate a possible situation of insolvency or closure," he reported.

On the other hand, the crisis has also brought some opportunities, said Cuerva, since “in 100 days we have advanced 5 years in terms of digitization, and, clear examples of this, have been teleworking, tele-education, telemedicine or platforms of entertainment". But, in this fast process, he added, companies have also had to face challenges such as fraud, piracy, cyberattacks, privacy at risk, or cybersecurity. But, the biggest challenge of all has been the inequality of opportunities, since not all people have the same access to technologies, equipment and skills. Despite these challenges, which must be solved, he insisted, technology and digitization are compulsory subjects to overcome this situation, and whoever does not do so now is late.

The Secretary General of the OIE, Roberto Suárez, for his part, announced that the 2021 scenario will be very complicated worldwide, but especially for the Central American region. In a global crisis, marked by restrictions on consumption, supply and demand, no CEO of any company could have changed the way of doing business so quickly and unexpectedly. However, according to a report prepared by the OIE, it was found that digital interaction with consumers increased from 36% to 58% in 2020 and the products that have been digitized during the same period in formal economies rose 30% to 60%. A significant rise in teleworking was also contemplated, which will begin to consolidate at the end of 2021.

With regard to global value chains, Suárez indicated, these are also being digitized, but the case of companies, especially MSMEs is very different, only between 12% and 14% purchased products online . For this reason, he stressed, it is crucial to have the ability to anticipate future skills and, among them, he assured, digital skills are a priority. He also valued the importance of public-private partnerships in Central America, and stressed that facing the challenges demanded by the region will not be possible without the involvement of business organizations.

The Secretary General of the Secretariat for Central American Economic Integration (SICA), Melvin Redondo, highlighted the importance of having spaces for dialogue such as this forum, in order to direct government policies and debate proposals in this year of crisis and serious effects. weather conditions in Central America. In his opinion, all actors in society must be involved in the digital transformation, since we have made great progress in accessing information and we must continue to do so, especially for MSMEs and in rural areas. Redondo pointed out that the Region is working on production transformation plans and intends to incorporate new technologies into government policies, in order to facilitate trade, governance management and equal access to opportunities. In this sense, he also mentioned the need to make good use of these tools and expand their scope of action to other sectors.

The manager of the Private Sector of the Central American Bank for Economic Integration (CABEI), Sabino Escobedo, reported, in turn, of an emergency program that they have launched and that offers 350 million dollars to prevent MSMEs from closing and providing support. so that they stay in the current context. It also provides, he assured, financing for the modernization of activities, equipment and technologies, in order to promote their economic integration. From the Bank, he pointed out, they also have regional programs so that companies can continue to invest in their basic structure, and help them to be more profitable and efficient. " Multilateral financial institutions are essential in the digital transformation process and represents one of their priorities ”, he declared.

The Secretary General of the International Chamber of Commerce, John Denton, for his part, spoke of the importance of strengthening and maintaining intra-regional trade and the importance of digital technology in prevention and diagnosis during the pandemic. The transformation process can only be achieved if the public and private sectors work together, he stressed.

Public digital transformation initiatives

In the first panel of the day, moderated by the permanent secretary of the Council of Ibero-American Entrepreneurs (CEIB), Narciso Casado, prominent authorities and representatives of institutions took part, such as the Vice Minister of Investment and Competition of Guatemala, Lisandro Bolaños; the executive director of CENPROMYME, David Cabrera; the executive secretary of the Regional Technical Commission for Telecommunications-COMTELCA; and the general secretary of the Inter-American Association of Telecommunications Companies-ASIET.

Under the slogan “Public initiatives for the digital transformation of production”, the experts from the Region agreed by pointing out that digitization in Central America should not be limited only to the use of new technologies, but also implies a change in the culture of companies , especially MSMEs, which represent 99% of the productive fabric. All of them insisted on the need to forge public-private partnerships to drive digital transformation and other sectors. "We have been good at creating companies, but not so much at making them grow" and, therefore, they advocated adopting support mechanisms to facilitate their survival and make them succeed.

The various institutions also agreed to point out the problem of informality, to improve access to basic infrastructures, to develop and enhance connectivity and telecommunications networks so that they reach remote and more isolated places, and to modernize and rethink the frameworks. legislative and regulatory measures to favor processes, promote Central American integration and intraregional trade. Likewise, they valued the transversality of digital technologies; the need to adopt public policies aimed at promoting these initiatives; the importance of promoting education, training and training at all levels; and committing to the sustainability of global value chains and the way of doing business, with examples of good practices. “Union, cohesion, integration and comprehensiveness, leadership, reduction of inequality, transversality and agility” were some of the most mentioned concepts in the course of this panel.

Role of business organizations in digital transformation

In the second and last panel of the forum: “How do Central American business organizations deal with digital transformation? Digitization as a response to Covid-19 ”, moderated by the executive director of the National Association of Young Entrepreneurs (ANJE) of the Dominican Republic, Sol Disla; The presidents of the Central American business organizations COPARDOM (Dominican Republic), Juan Alfredo de la Cruz; COHEP (Honduras), Juan Carlos Sikaffi; CACIF (Guatemala), Nils Leporowski; and CONEP (Panama), Julio de la Lastra.

In their presentations, the presidents agreed to highlight that for the digital transformation to be successful, it is necessary to promote knowledge and not just the technology system. This transformation process is motivated by the pandemic months in which companies have had to reinvent and innovate in order to reach customers in an increasingly competitive world. For this reason, they indicated, teleworking had to be promoted and they insisted on the need to promote training and education; support young people; promote administrative and tax simplification; improve infrastructure; and promote the development of more virtual spaces and smart cities.

The presidents of business organizations also stressed the importance of rebuilding and paving the way to provide better opportunities for all; implement an effective strategy that serves as a roadmap in this new reality; and betting on connectivity from a regional perspective and in a collaborative economy. Sectors such as logistics, industry, MSMEs, banking and the government sector, are some of those that have been most forced to digitize during these months to make a qualitative leap. "It is time to co-create and share lessons, since digital transformation must be in our DNA and in our way of life," they concluded.

Closure

The permanent secretary of CEIB, Narciso Casado, closed the day and assured that, under the motto "A vision from Central America", it has been possible to see how digitization has been an indispensable tool in the development of productivity, infrastructures, projects and training. It also influenced the digital transformation process that many of the Central American business organizations have undertaken, something that will be key to their future. Proof of this are the initiatives launched by organizations such as COHEP in Honduras, through the “Honduras Digital Challenge” program; Guatemala, during the XXVI Ibero-American Summit of Heads of State and Government on issues of digital transformation; o COSEP in Nicaragua, with the launch of the “Ubicanica” internship platform; among many others. Casado also highlighted the importance of public-private collaboration and the intense activity carried out, especially in the wake of the pandemic. A clear example of this cooperation is the alliance between CEIB and SEGIB with the main economic, political and social actors, to continue deepening regional integration, intra-regional trade and value chains. "Ensuring equal opportunities and inclusive growth through training and education, giving priority to people and employment", are essential factors, he considered, in order to obtain the best formula for social inclusion for the Region. These and other ideas, Casado reported, are included in a report prepared by CEIB, SEGIB and FIJE, under the slogan "More Iberoamerica, a firm commitment to the Region", which will be published soon.

Casado concluded his speech with a series of concepts, in homage to this forum on Digital Transformation, which he defined as the 10 “Dess”: Development, key in the post-Covid era; decision and determination, to get out of the crisis and face the recovery; diversification, so necessary in the economies of the Region; duty, essential to adopt adequate measures; data, closely linked to digitization and essential in the dissemination of information; defense of Ibero-American values ​​and principles to maintain identity and a sense of unity; and debate and dialogue; two concepts that have proven to be key during the pandemic and without which the development required by the Region cannot be achieved. And all these concepts, he pointed out, deserve to be put into practice in order to prevent this conjunctural crisis from becoming structural, and with it to build, together, More Iberoamérica.

The general secretary of FIJE, Antonio Magraner, highlighted the importance of public-private alliances and collaborations; and opted for digitization in the current context. Regarding alliances, he commented that these have become essential in an increasingly collaborative world, since “States cannot function without companies, but companies cannot function without States and without an ecosystem to support them. themselves, "he said. Likewise, Magraner assured that digitization is here to stay and to change the way people think, as well as their lifestyle. "The digital transformation has allowed us to open our eyes and become part of a new era," he said. And, therefore, he emphasized, special support should be given to those small and medium-sized companies that require the most help to adapt to the new environment.

The head of Economy and Business at SEGIB, Pablo Adrián Hardy, stressed that “the road does not end here, since the ideas and main lines of work adopted will form part of the recommendations that will be delivered to the Heads of State and Government during the next Ibero-American Summit in Andorra ”. He also insisted that the conclusions drawn by the private sector on fundamental issues such as digitization or innovation will be very useful for the future development of the Central American region.

The permanent secretary of the Ibero-American Business Council (CEIB), Narciso Casado; the Secretary General of the Union of Ibero-American Capital Cities (UCCI), Almudena Maíllo; and the general secretary of the Ibero-American Federation of Young Entrepreneurs (FIJE), Antonio Magraner, have signed a memorandum of understanding at Casa de América on behalf of the three institutions, in order to collaborate in areas of common interest to Ibero-America.

The agreement seeks to promote links, relationships and exchanges between the Ibero-American capital cities, by organizing meetings and joint activities that serve for the effective exchange of knowledge and experiences in all sectors (economic, cultural, technical, professional, tourism …) . With all this, it is intended to promote the harmonious and balanced development of the Ibero-American capital cities, always betting on solidarity and cooperation between them.

Content of the memorandum

The collaboration agreement signed by CEIB, UCCI and FIJE contemplates the exchange of information on the strategies and programs of the member countries; strengthen cooperation in strategic sectors of common interest; promote the dissemination of information and publications that contribute to increasing the presence of each institution; work in coordination with public administrations and private organizations to give viability to social projects that provide added value to the parties; and hold regular meetings to follow up on joint actions and lines of work.

A commitment to Ibero-American cities

The Secretary General of the UCCI, Almudena Maíllo, highlighted the signing of this alliance with "two prestigious institutions and business leaders in Latin America", which also represent "development, progress and competitiveness, objectives for which we at UCCI work daily to promote the economic and social advancement of our cities ”. Maíllo assured that the Memorandum represents a commitment to cities at a complex time due to the scourge of the COVID19 pandemic. "It will be a practical alliance full of content that will give us more tools to find common positions and concrete actions in Latin America."

The UCCI Secretary General highlighted how "the path towards strengthening and recovering local governments is indisputably through the strengthening of alliances such as the one we subscribe today and through public-private collaboration initiatives that have become especially necessary since the the global pandemic ”. In this sense, Maíllo recalled that "the role of the business sector is key": "We will not get out of this crisis if there is no consensus and trust between companies and governments, unity among social actors," he said after recalling that from the UCCI "We want to serve as a bridge and use our leadership to favor and participate in this economic reconstruction in which you, the businessmen, are indispensable."

From the UCCI, Maíllo indicated, “we have a commitment to strengthening our local governments to improve the quality of life in the Region, an objective we share and that is why it is time to unite our potential to promote the improvement of the structures". The generation of opportunities, the creation of more efficient, sustainable and transparent institutions, are commitments that also take shape in this Memorandum. "We will promote cooperation and knowledge, we will contribute to the collaboration of social projects that allow us to share experiences and good practices that are already in operation," said Maíllo after highlighting the important role of Latin America. "In this very symbolic place we want to lead the voice of Ibero-America in Europe and show that a united Ibero-America can lead this situation with strength," he concluded.

A common path for Ibero-America

The permanent secretary of CEIB, Narciso Casado, highlighted in his speech the commitment of three of the great actors that work for Ibero-America, its citizens and their countries, and that "from today we are going to travel an important section of the road together." The memorandum, he assured, aims to promote the harmonious and balanced development of the Ibero-American capital cities, always betting on solidarity and cooperation between them. An agreement that has a lot to do with the Sustainable Development Goals. In this common path we are going to keep in mind, he explained, concepts that begin with the first letters of two key words: company-entrepreneur and city-capitals. In this sense, he spoke of the State, companies, efficiency, education, equity, evaluation, success, excellence, stability, spirit, employment and ecology. And, secondly, he referred to capital cities, citizens, commitment, culture, public-private collaboration, consensus, cooperation, training, quality, uptake and global value chains. "All these concepts that concur and can be interrelated will help us to limit the work that we are going to carry out together," he said.

The institutions that today sign this commitment to collaboration, Casado indicated, represent the same number of business organizations as capital cities in the Region. In each capital city there is a large private business organization that is a member of CEIB, he reported, and the same happens with organizations of young entrepreneurs. "We are going to involve them in this process, which is a clear commitment of the business world to their cities, their headquarters, the place where they carry out their activities and where workers, users and customers live," he declared.

Casado also highlighted that this agreement is committed to young people, business vocations, training and the retention of talent. In his opinion, great subjects for which there is only one result: success for all. At CEIB, he concluded, we have coined a motto in recent months: "More Iberoamerica", and the agreement that is being signed today is another great step to make the Region more sustainable, fair, inclusive and prosperous; a Region also of cities and citizens.

A commitment to public-private partnerships

The general secretary of FIJE, Antonio Magraner, highlighted the importance of public-private alliances, especially in the current framework that exists worldwide. “We have to go hand in hand. The reality is that a state does not function without its companies and companies do not function without public alliances ”, he asserted. In this sense, the signing of the Memorandum is a clear commitment to this union, said Magraner, while anticipating the intention of the three institutions to promote actions for the benefit of all of Ibero-America: “We are going to do many things together and this it is just a sample that it is possible to work perfectly between the public and private sectors ”, he asserted.

Magraner exemplified the importance of the aforementioned union, recalling the toughest months of the pandemic where sometimes “the state did not arrive as quickly as needed and there were companies, the private sector, which also needs a strong state, security legal and political security ":" We demand these alliances, we have to set an example. The world is not conceived today, from a social, business, political, civil point of view if there is no unity, we all have to row in the same direction, ”insisted the general secretary of FIJE.

Magraner recalled how the contacts between FIJE, CEIB and UCCI began, and how from the first meetings “we were clear that we did not want this collaboration agreement to remain a simple agreement, but rather that it had to be brought down to earth and be able to work on it with different actions that we are going to develop soon ”. In this sense, the network that includes the three institutions frames a favorable scenario for the Ibero-American region: “UCCI brings together 29 mayors of Ibero-American cities, so the political arrival with the UCCI and the business arrival that we have with CEIB and FIJE, with representatives and employers in these countries is basic ”, remarked Magraner.

The general secretary of FIJE did not want to overlook the importance of the Ibero-American and common cultural framework, in this scenario: "We come from the same culture and many things unite us," he said.

The Minister of Labor, Yolanda Díaz, has presented the Plan for the Promotion of Vocational Training in Self-Employment and Social Economy, a pioneer in its size and endowment and which is the result of dialogue with the social partners.

The presentation ceremony of the Plan to Promote Professional Training for Work and Self-Employment in the Social Economy was attended by ATA, UATAE and UPTA, by the organizations of the self-employed; CEPES, representing the organizations of the social economy; and of CC.OO., UGT and CEOE and CEPYME, on behalf of the social partners whose agreement, within the framework of Social Dialogue, is at the origin of the Impulse Plan.