The Q70 million allocated to English scholarships that were returned from the Ministry of Economy to Finance (Minfin) already have another specific destination in the Ministry of Social Development, so only Q30 million remaining will be available for this purpose both in the current fiscal year and in 2025.
The figures contrast with the report by Gustavo Mendoza, coordinator of the contact center & BPO sector of the Guatemalan Association of Exporters (Agexport), who says that up to 15,000 positions are lost in contact centers due to the lack of Guatemalans trained in English.
Currently, only 30% of the English scholarships that have been granted for two years by the Ministry of Education (Mineduc) and the Ministry of Economy (Mineco) are available. The Mineco has already returned Q70 million to the Minfin due, according to the entity in a statement, to anomalies found by the General Comptroller’s Office, so that the money has already taken another budgetary route.
According to a message from Minfin, the Q70 million were received and distributed according to the needs of each institution. On August 19, Abelardo Pinto, minister of the Ministry of Development (Mides), told Free press that they were assigned an amount for the same quantity, however, he explained that he is not clear where the money comes from and that it will be used to support people who are suffering from the rise in the price of basic basket products.
As of this date, only Q30 million granted to Mineduc are still allocated to English scholarships.
The importance of scholarships
Veronica Spross, executive director of Entrepreneurs for Education, said that knowledge of the English language is important for job placement, especially for young people, who would have, thanks to a second language, greater possibilities of accessing a formal and well-paid job.
Spross pointed out that by mastering the English language, citizens could be hired in the BPOS and Contact Centers sector. However, by not allocating these English scholarships, an employment opportunity is also being lost, said the director of entrepreneurs for education. “There are many jobs that require the command of the English language at a technical level,” argued Spross.
Mendoza said that around 10 to 15 thousand positions are lost each year in contact centers due to the lack of personnel trained in English. According to the contact center coordinator, there are accounts that could be opened in the country and could employ around 500 people, however, they cannot be received because there are not enough workers who know the language. This, according to Mendoza, leads the accounts to go to other countries such as Colombia.
Spross commented that in order to make bilingual education effective, a national strategy is needed, in which children are taught the language from pre-primary school. “English should be taught from the time children enter pre-primary school, so that when they reach secondary school, they already have a medium command that will allow them to later improve their job placement,” Spross said.
The remaining 30%
Mendoza explained that he has worked together with the Mineduc to continue with the remaining scholarship funds. For the moment, he assured that the Ministry launched a call for 20 thousand scholarships for high school students, and according to reports, around 4 thousand students have signed up. However, there is still no start date for the program.
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Guatemala’s English Scholarship Crisis: Affecting Job Opportunities and Economic Growth
The recent news that the Ministry of Economy (Mineco) has returned Q70 million allocated for English scholarships to the Ministry of Finance (Minfin) has sparked concerns about the impact on job opportunities and economic growth in Guatemala. This move comes at a time when there is a high demand for English language skills in the country, particularly in the contact center and BPO (Business Process Outsourcing) sector.
The Importance of English Language Skills
Veronica Spross, executive director of Entrepreneurs for Education, emphasizes the importance of English language skills for job placement, especially for young people. “Knowledge of the English language is crucial for accessing formal and well-paid jobs,” she says. Spross adds that mastering the English language can open up opportunities in the BPOS and Contact Centers sector, which is a significant contributor to Guatemala’s economy.
Unfortunately, the lack of English language skills is resulting in lost job opportunities. Gustavo Mendoza, coordinator of the contact center & BPO sector of the Guatemalan Association of Exporters (Agexport), estimates that around 10 to 15 thousand positions are lost each year in contact centers due to the lack of personnel trained in English. This not only affects the individual’s employability but also has a broader impact on the country’s economy.
The Allocation of Scholarship Funds
The Q70 million returned to Minfin was originally allocated for English scholarships, but it has been redirected to support people affected by the rise in the price of basic basket products. Abelardo Pinto, minister of the Ministry of Development (Mides), stated that the funds will be used to support vulnerable populations. While this allocation may address a pressing social issue, it leaves a significant gap in funding for English language training.
As of now, only Q30 million remains allocated for English scholarships, which is a fraction of the original amount. This reduction in funding will likely exacerbate the existing shortage of English language skills in the country.
A National Strategy for Bilingual Education
To address the root cause of the problem, Veronica Spross advocates for a national strategy for bilingual education. She believes that English should be taught from pre-primary school, allowing children to develop a medium command of the language by the time they reach secondary school. This, in turn, would improve their job placement opportunities in the future.
The Remaining 30%
Gustavo Mendoza has worked with the Ministry of Education (Mineduc) to continue with the remaining scholarship funds. The Ministry has launched a call for 20 thousand scholarships for high school students, and around 4 thousand students have already been registered. While this is a positive step, it is essential to find a long-term solution to ensure that Guatemalans have access to English language training and skills.
Conclusion
The Guatemalan government’s decision to redirect funding for English scholarships has sparked concerns about the impact on job opportunities and economic growth. The lack of English language skills is already affecting the country’s contact center and BPO sector, leading to lost job opportunities and revenue. To address this issue, it is essential to prioritize English language training and skills development, particularly in the education sector. By investing in bilingual education, Guatemala can unlock its full economic potential and create a more competitive workforce.
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Meta Description:
Guatemala’s English scholarship crisis affects job opportunities and economic growth. Learn how the lack of English language skills is impacting the contact center and BPO sector, and why prioritizing bilingual education is crucial for the country’s future.
Header Tags:
H1: Guatemala’s English Scholarship Crisis: Affecting Job Opportunities and Economic Growth
H2: The Importance of English Language Skills
H2: The Allocation of Scholarship Funds
H2: A National Strategy for Bilingual Education
H2: The Remaining 30%
H2: Conclusion
