A. M. 
The Finance Committee of El Salvador’s Legislative Assembly issued a favorable opinion to bolster the budget of the Ministry of Public Works and Transportation with US$1,128,430. These funds will be allocated to complementary road infrastructure work in San Miguel. The measure is not yet final and must be voted on in a plenary session, where its approval will be decided.
The resources come from a remaining balance of a US$51,370,000 loan from the Japan International Cooperation Agency, used for the development of the Gerardo Barrios bypass project, a key infrastructure project to improve mobility in the eastern part of the country.
According to authorities at El Salvador’s Ministry of Finance, the entire loan was not used by the end of fiscal year 2025, leaving just over one million dollars available. This is the amount that the government now seeks to incorporate into the current budget through an amendment to the Budget Law.
According to officials who spoke with the legislators, these funds will allow for the execution of additional work necessary to guarantee the safety and durability of the existing infrastructure. The planned works include slope protection, drainage systems, the installation of anchored metal mesh, and concrete linings.
These interventions will focus on the section of the ring road that connects the Hato Nuevo and El Papalón cantons in San Miguel, an area where the terrain requires reinforcement to prevent landslides and damage from water accumulation, especially during the rainy season.
The Gerardo Barrios ring road is part of the “San Miguel Bypass Construction” project, a large-scale undertaking that has transformed traffic flow in the eastern region. This project includes 21 kilometers of highway, 42 kilometers of bike path, the construction of bridges over major rivers, overpasses, roundabouts, and other complementary infrastructure.
The original funding was approved by the Legislative Assembly of El Salvador in september 2022, following the signing of the loan agreement between the Salvadoran government and the Japan International Cooperation Agency in august of the same year. Since then, the project has been underway as part of the efforts to modernize the country’s road network.
Authorities indicated that the incorporation of these funds does not imply new debt, but rather the utilization of resources already available within the original loan. This would allow for the completion of pending work without affecting fiscal balance.
The commission’s favorable opinion represents a preliminary step in the legislative process. The full Legislative Assembly of El Salvador will be responsible for deciding whether these resources are officially incorporated into the budget for implementation.
If approved, the works would contribute to strengthening road safety, improving traffic flow, and extending the useful life of one of the most important infrastructures for the economic development of the eastern region of the country.
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