
Vocational Training Program
PARAGUAY
SECTOR: Education
PROJECT NAME: Vocational Training Program
(851/OC-PR)
TOTAL COST: $27.0 million
FINANCING:
IDB $20.7 million
MIF $ 3.5 million
LOCAL $ 2.8 million
DATE OF APPROVAL: December 21, 1994
GENERAL DESCRIPTION: The objective of this program is to increase
productivity and incomes through efficient operation
of the country's vocational training system. In this
way, the program will: (a) upgrade the knowledge and
skills of employed workers as an aid to restructuring
the productive sector; (b) provide suitable vocational
training for young people entering the job market and
unemployed youths belonging to low-income groups; and
(c) increase management skills of small business
operators and microentrepreneurs.
The system will allow for broad participation by the
private sector in its administrative body, ensure that
there are mechanisms that permit learners to select
the type of training they prefer and the institution
to provide it, and award contracts for such training
courses through an open process in which private
institutions are free to compete.
The program includes the following components:
(a) a sector reforms component: to create the
vocational training system, create and place in
operation a governing body for the system, along with
a corresponding technical secretariat, restructure and
rationalize the Servicio Nacional de Promoción
Profesional (SNPP), with its regional branches and
subdivisions, privatize the affiliated centers,
strengthen the private sector institutions with the
greatest impact on the sector, and conduct studies for
awarding professional accreditation, while promoting
participation by women in the labor market;
(b) an investment component: to finance courses for
active workers (refresher, updating and/or retraining
courses), small business operators and
microentrepreneurs (courses in business
administration, accounting and marketing, among other
topics), and the unemployed poor (courses designed to
encourage reentry into the job market). During the
first two years of the program, an education voucher
system will be used in which students - and companies
in the case of employed workers - will be given
vouchers for the above-mentioned courses. These
students and companies will have the option of
selecting among the courses and participating
institutions, thus creating healthy competition among
the latter.
CONSULTANTS: Consultants will be hired to: (a) create the
vocational training system (106 staff/months); (b)
help design and implement a governing body for
carrying out the program (151 staff/months); (c)
restructure the SNPP (144 staff/months); (d) study the
possiblity of having SNPP sell, assign or transfer its
regional branches and subdivisions (8.4 staff/months);
(e) conduct a study which will make it possible to
strengthen the most efficient affiliated centers,
close those centers for which there is no demand, and
establish sectoral requirements for creating and
operating new centers (18.2 staff/months); (f)
strengthen private sector training institutions (8
staff/months); (g) conduct a study on professional
certification (3.9 staff/months); (h) conduct a study
of labor market prospects on which to base the design
of a course aimed at helping women enter the labor
force (5.2 staff/months); and (i) conduct a total of
50 pilot vocational education courses.
GOODS AND EQUIPMENT: Equipment for workshops, teaching laboratories,
software and educational materials will be purchased.
EXECUTING AGENCY: Ministerio de Justicia y Trabajo
Servicio Nacional de Promoción Profesional
Molas López entre Quinta y Sexta
Vía Victoria
Asunción, Paraguay
Telephone: (595-21) 605-490
Fax: (595-21) 662-598
Contact: Sr. Víctor Bernal, Director General