In my June 2 column, Guatemala 2050: a city trapped between smog, crime, and traffic chaos, I warned that, if we do not act decisively, we will condemn our children to live in a capital suffocated by insecurity, traffic, and pollution. Days later, I received a message from Julio C. Urdaneta, Associate Director and Global Head of Media Relations at Oxford Economics, who shared the Global Cities Index 2025 with me and suggested using it as a guide for concrete solutions.
The index, which evaluates more than one thousand cities across five dimensions — Economy, Quality of Life, Human Capital, Environment, and Governance — shows that Guatemala City has strengths in its economy and demographic base, but ranks among those with the lowest quality of life. Urdaneta expressed it clearly: cities like ours possess advantages that many metropolises would desire, such as our privileged climate, but those opportunities only materialize if we invest in improving our management systems and urban services.
In the economic dimension, Guatemala City occupies a privileged position: it is among the five strongest of the 46 cities in Mesoamerica and the Caribbean, surpassed only by Mexico City, Monterrey, and Panama City. Our capital concentrates nearly half of the national GDP, with a productive fabric that combines manufacturing industry, agribusiness, financial services, commerce, and a growing technology sector. Added to this is a projected metropolitan GDP growth of 4.2% annually and a robust domestic consumer base, driven by a young population that increases the labor force by 2% every year. This position should not only be a source of pride: it must become the lever to transform all the other variables that determine competitiveness and urban quality of life.
Just as the Municipality built the Elevated Viaduct on Atanasio Tzul Boulevard and 13th Street, Zone 12 — a 411-meter structure connecting Atanasio Tzul with Petapa Avenue and benefiting more than 100,000 daily users — we can undertake larger-scale strategic projects capable of reconfiguring the mobility and logistics of the entire city. The plan includes five essential corridors: the one linking Santa Catarina Pinula with 20th Street in Zone 10 and its financial center; the one connecting Vistalvalle with Centra Norte to streamline the entry of cargo and passenger transportation from the north and northeast; the one linking Casa de Dios with the VAS of Boca del Monte, relieving traffic in the southern metropolitan area; the expansion of the route between Villa Nueva and Milpas Altas, optimizing the connection with the west; and the extension of the Eastern VAS to Puerto San José, directly integrating the capital with the country’s main port. Together, these five projects add approximately 105 kilometers of new road infrastructure and an estimated investment of US$500 million. Their integrated execution would reduce daily commute times per worker by between 20 and 30 minutes, equivalent to an economic impact of USD 1 billion annually in recovered productive hours.
This physical transformation would be accompanied by a pro-investment fiscal reform that would reduce corporate Income Tax to 15% and increase VAT to 15%, under a fiscally neutral scheme, along with a new Foreign Direct Investment Attraction and Special Economic Zones Law focused on high value-added industries. With these measures, and thanks to the combination of legal certainty, competitive infrastructure, qualified human capital, and administrative simplification, FDI could rise from USD 1.694 billion in 2024 to USD 5 billion annually within five years, generating more than 40,000 high-quality direct formal jobs. It would send a powerful signal to the world that Guatemala is a serious, stable, and competitive destination for productive capital.
In terms of quality of life, the first axis is urban mobility. It does not require billions of dollars, but rather an agreement among all sectors to change our habits. Anyone who travels through the city knows that, when schools are on vacation, traffic noticeably eases; staggered schedules would replicate that relief permanently, maximizing the use of existing infrastructure.
There are no limits when an entire city decides to be great. And today, Guatemala can decide it. And today, Guatemala can become it.
The implementation of this measure would reduce congestion by up to 15%, distributing the flow of people and vehicles throughout the day. Primary school classes would begin at 6:45 and end at 12:30; secondary school would begin at 8:15 and conclude at 14:00; public officials would work from 9:00 to 17:00; private companies would operate from 9:30 to 17:30, and industry would maintain distributed shifts. Yes, it implies sacrifice, but this collective effort will shorten commutes, reduce stress, and return thousands of family and productive hours.
Urban security will be strengthened through a network of high-definition cameras, intelligent monitoring, strategic lighting in critical points, and deterrent police presence under metropolitan coordination, with the goal of reducing crimes against people by 40% and crimes against property by 30% within five years. Green areas and public spaces will expand by 120 hectares through the conversion of vacant lots, the recovery of underutilized spaces, and the covering of depressed roadways to create parks and plazas that improve air quality, provide safe recreation, and strengthen the sense of community.
In terms of human capital, the plan will link technical and university educational offerings with the investments that will be attracted, prioritizing sectors such as technology, logistics, clean energy, and export agribusiness. Agreements between companies and educational centers, rapid certification programs, and a co-financed scholarship system will be promoted. In addition, a skilled migrant return program will facilitate the return of at least 10,000 professionals within ten years. The goal is for 80% of technical and university graduates to obtain formal employment within less than six months, strengthening the competitiveness of both the city and the country.
All of this requires investment and coordination, but the resources are within our reach. The total cost of the plan — infrastructure, social programs, digitalization, security, healthcare, education, and fiscal incentives — amounts to USD 3.0–3.3 billion over 15 years. In 2024, the State failed to execute USD 2.4 billion; this year it could be USD 3 billion, which will be transferred to the CODEDES in 2026. If we take half of that amount and half of the national current account, we would have USD 3 billion available to finance it from the very first year.
This is a real opportunity for our city and our country. With these projects and investments, we would surpass Tegucigalpa in the ranking and reach the levels of Santo Domingo, a first step toward becoming one of the leading cities in the Mesoamerican and Caribbean region. But this is not only about climbing positions in an index: we are talking about streets where people can walk without fear, fluid transportation that does not steal hours of life, parks and plazas that become gathering points, and neighborhoods that flourish when the economy moves and talent stays.
If we add to all this an airport with two runways, efficient and orderly, along with an open skies policy that turns Guatemala into the region’s connection hub, not even the sky would be the limit. A competitive capital would radiate development toward Xela, Chimaltenango, Escuintla, Zacapa, and Puerto Barrios, integrating markets, reducing costs, and generating quality employment throughout the country. We would witness a virtuous cycle: more investment, more jobs, more opportunities, and more hope for millions of Guatemalans.
The moment is now. Never before have we had conditions, resources, and vision aligned as they are today. We can let this opportunity dissolve into empty promises, or we can decide to build, with our own hands and will, the Guatemala we dream of. To move from resignation to ambition, from complaint to action, from survival to leadership. There are no limits when an entire city decides to be great. And today, Guatemala can decide it. And today, Guatemala can become it.
