A. M. El Salvador closed 2024 with an estimated economic growth between 2.5% and 3.0%, and for 2025 an even greater advance is projected, with a range of 3.0% to 3.5%, according to information based on the macroeconomic programs of the member countries of the Secretaría del Consejo Monetario Centroamericano (SECMCA).
The country’s economic performance has been driven by increased credit to the private sector, public investment, and stable flows of remittances and foreign investment.
Regionally, the economies of the FOMC countries grew by 4.0% in 2024, with the Dominican Republic leading with 5.0%, followed by Costa Rica (4.3%), Guatemala (3.7%), Honduras and Nicaragua (3.6% each).
In terms of inflation, El Salvador recorded the lowest inflation rate in the region in january 2025, at 0.29%, well below the regional average of 2.45%. This figure reflects sustained price stability, in line with the goals of the Banco Central de Reserva (BCR).
During the 303rd CMCA meeting in Managua, banking authorities agreed that the region is on a path of moderate growth and inflation control, despite international uncertainty. The recent interest rate cut by the U.S. Federal Reserve has eased global financial conditions, although rates are expected to remain high for longer.
With inflation under control and growth on the rise, El Salvador remains on a path of economic stability and sustained expansion by 2025.
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