Empowering Entrepreneurs with Disabilities in Paraguay: Adaptive Management to Do No Harm.

In Paraguay, 76.5% of microenterprises operate informally, reflecting broader economic challenges. Entrepreneurs with disabilities face additional barriers, prompting USAID to partner with Fundación Saraki to support and formalize their businesses through the Mbarete Project. This initiative, part of a Fixed Amount Award, aimed to achieve milestones for the formalization of these entrepreneurs. However, monitoring data revealed significant challenges, notably the risk of losing public benefits upon formalization.

Initial steps to address this included establishing communication and monitoring mechanisms with Saraki. The activity’s challenges were diagnosed collaboratively, leading to stakeholder engagement to understand and address the barriers. Recognizing that formalization could harm the entrepreneurs, USAID pivoted the project’s focus. Through brainstorming sessions, USAID co-created a modified implementation strategy with Saraki focused on addressing broader systemic barriers.

A key outcome was the establishment of the Mbarete Network, supported by the First Lady of Paraguay, which addresses public policy advocacy and concrete actions with key government and regulatory institutions to support entrepreneurs with disabilities. This network aims to inform policy and provide direct benefits to entrepreneurs, fostering an inclusive and sustainable entrepreneurial ecosystem.

The CLA approach enabled USAID and Fundación Saraki to tailor the project to better meet participants' needs, ensuring a sustainable, long-term impact. This adaptive, collaborative response resulted in a comprehensive solution co-created with and for people with disabilities. This approach underscored the importance of flexibility and stakeholder engagement in achieving meaningful development outcomes. The initiative will significantly improve the quality of life for entrepreneurs with disabilities and other vulnerable groups, highlighting the value of inclusive development strategies.