| Economy - overview | The smallest country in Central America geographically, El Salvador has the fourth largest economy in the region. With the global recession, real GDP contracted in 2009 and economic growth has since remained low, averaging less than 2% from 2010 to 2014, but recovered somewhat in 2015-17 with an average annual growth rate of 2.4%. Remittances accounted for approximately 18% of GDP in 2017 and were received by about a third of all households. In 2006, El Salvador was the first country to ratify the Dominican Republic-Central American Free Trade Agreement, which has bolstered the export of processed foods, sugar, and ethanol, and supported investment in the apparel sector amid increased Asian competition. In September 2015, El Salvador kicked off a five-year $277 million second compact with the Millennium Challenge Corporation - a US Government agency aimed at stimulating economic growth and reducing poverty - to improve El Salvador's competitiveness and productivity in international markets. The Salvadoran Government maintained fiscal discipline during reconstruction and rebuilding following earthquakes in 2001 and hurricanes in 1998 and 2005, but El Salvador's public debt, estimated at 59.3% of GDP in 2017, has been growing over the last several years. |
| GDP (purchasing power parity) | $56.636 billion (2019 est.) $55.318 billion (2018 est.) $54.005 billion (2017 est.) note: data are in 2017 dollars |
| GDP (official exchange rate) | $27.023 billion (2019 est.) |
| GDP - real growth rate | 2.3% (2017 est.) 2.6% (2016 est.) 2.4% (2015 est.) |
| GDP - per capita (PPP) | $8,776 (2019 est.) $8,616 (2018 est.) $8,454 (2017 est.) note: data are in 2017 dollars |
| Gross national saving | 17% of GDP (2019 est.) 15.6% of GDP (2018 est.) 15% of GDP (2017 est.) |
| GDP - composition, by end use | household consumption: 84.5% (2017 est.) government consumption: 15.8% (2017 est.) investment in fixed capital: 16.9% (2017 est.) investment in inventories: 0% (2017 est.) exports of goods and services: 27.6% (2017 est.) imports of goods and services: -44.9% (2017 est.) |
| GDP - composition by sector | agriculture: 12% (2017 est.) industry: 27.7% (2017 est.) services: 60.3% (2017 est.) |
| Ease of Doing Business Index scores | Overall score: 65.3 (2020) Starting a Business score: 78.6 (2020) Trading score: 89.8 (2020) Enforcement score: 51.9 (2020) |
| Population below poverty line | 22.8% (2019 est.) |
| Labor force | 2.908 million (2019 est.) |
| Labor force - by occupation | agriculture: 21% industry: 20% services: 58% (2011 est.) |
| Unemployment rate | 7% (2017 est.) 6.9% (2016 est.) note: data are official rates; but underemployment is high |
| Unemployment, youth ages 15-24 | total: 9.9% male: 8.3% female: 12.8% (2019) |
| Household income or consumption by percentage share | lowest 10%: 2.2% highest 10%: 32.3% (2014 est.) |
| Distribution of family income - Gini index | 38.6 (2018 est.) 38 (2014) |
| Budget | revenues: 5.886 billion (2017 est.) expenditures: 6.517 billion (2017 est.) |
| Taxes and other revenues | 23.7% (of GDP) (2017 est.) |
| Budget surplus (+) or deficit (-) | -2.5% (of GDP) (2017 est.) |
| Public debt | 67.9% of GDP (2017 est.) 66.4% of GDP (2016 est.) note: El Salvador's total public debt includes non-financial public sector debt, financial public sector debt, and central bank debt |
| Inflation rate (consumer prices) | 0% (2019 est.) 1% (2018 est.) 1% (2017 est.) |
| Credit ratings | Fitch rating: B- (2017) Moody's rating: B3 (2018) Standard & Poors rating: B- (2018) |
| Agriculture - products | sugar cane, maize, milk, poultry, sorghum, beans, coconuts, eggs, apples, oranges |
| Industries | food processing, beverages, petroleum, chemicals, fertilizer, textiles, furniture, light metals |
| Industrial production growth rate | 3.6% (2017 est.) |
| Current Account Balance | -$501 million (2017 est.) -$500 million (2016 est.) |
| Exports | $4.662 billion (2017 est.) $5.42 billion (2016 est.) |
| Exports - commodities | textiles and apparel, electrical capacitors, plastic lids, raw sugar, toilet paper (2019) |
| Exports - partners | United States 40%, Guatemala 15%, Honduras 15%, Nicaragua 6% (2019) |
| Imports | $9.499 billion (2017 est.) $8.954 billion (2016 est.) |
| Imports - commodities | refined petroleum, packaged medicines, clothing, broadcasting equipment, natural gas (2019) |
| Imports - partners | United States 30%, China 14%, Guatemala 13%, Mexico 8%, Honduras 6% (2019) |
| Reserves of foreign exchange and gold | $3.567 billion (31 December 2017 est.) $3.238 billion (31 December 2016 est.) |
| Debt - external | $17.24 billion (2019 est.) $16.712 billion (2018 est.) |
| Exchange rates | note: the US dollar is used as a medium of exchange and circulates freely in the economy 1 (2017 est.) |
| Fiscal year | calendar year |
Source: CIA World Factbook
This page was last updated on September 18, 2021
