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By Haris Sanahuja, Mirtha Escobar, and Alonso Brenes

Therefore, , that is, if it is a resilient investment.  The current COVID-19 (coronavirus) crisis has increased the challenges in the Central American region and has reinforced the notion that the resilience of public and private investments will be an essential element for an assured reconstruction process. 

In Central America, which has the , investments in infrastructure should include an analysis of disaster risks and possible climate change scenarios. Likewise, the region’s geography, subjected to multiple natural hazards, represents a permanent challenge for the provision and design of new infrastructure and supply of services. Safe and sustainable development will not only promote productive and high value-added activities but will also contribute to reducing inequality and poverty.   

One more step towards safe development in Central America

. There are two fundamental issues relating to the impact of disasters: first, infrastructure becomes unable to fulfill its useful life, and second, there can be on-going deterioration in the quality of service provision.  

Shielding future investments in the medium and long term involves critically reviewing public and private investment planning as well as improving information platforms. It is not enough to have generic remedies and guides for current public investment needs in the region; instead, we propose five measures to improve regional capacities while promoting resilient public investment:

1. Improve resilient investments while strengthening national public investment systems. There are innovative financial protection opportunities for existing infrastructure portfolios as well as for financing future constructions prior to 2030. Pre-investment mechanisms offer room to include more robust risk analyses, which can result in longer project lifespans and lower cost.
2. Transform crises triggered by disasters into occasions to strengthen existing portfolios. . When viewed through the lens of 
3. Develop fiscal and budgetary shielding mechanisms for investment projects. This assures future investments in public infrastructure aren’t built under conditions of risk. Similarly, there are advantages offered by the various market options so that countries in the region can defer part of their catastrophic risk and reduce their fiscal liability.
4. Promote public-private partnerships (PPPs) through regional-level terms and conditions. This could promote attractive infrastructure investment and global financing mechanisms – such as the â€“ designed to reduce the deficit in resilient investments.
5. Identify disruptive projects with regional impacts. The potential inherent in the region's location still awaits wagers of innovative investment that would help cover deficiencies and provide jobs and services in lagging territories. History has shown how investments that stimulate development and innovation can maintain medium-term benefits and returns. However, it has been decades since Central America receives these types of investments. 

This article is part of a series based in the report Towards a More Resilient Central America. Read the series and share your opinions on social media using #CentroaméricaMásResiliente