World Bank Projects 2.7% Growth for El Salvador in 2025. – El Salvador in English

The World Bank (WB) has projected a 2.7% economic growth for El Salvador in 2025, maintaining the same forecast it released in October 2024. In its latest growth projections report, the WB also predicts a slightly slower growth rate of 2.5% for the country in 2026.

This 2.7% growth forecast for El Salvador is slightly higher than the regional average for Latin America and the Caribbean, which is expected to grow by 2.5% in 2025. The global growth projection for the year also stands at 2.7%, aligning with El Salvador’s forecast.

The World Bank attributes the regional growth to a recovery in Argentina, the normalization of interest rates, and declining inflation. Additionally, strong commodity prices are expected to support exports in Latin America, although weak growth in China could dampen demand for key commodities.

El Salvador’s outlook for 2025 is bolstered by ongoing large-scale private and public investment projects, a booming tourism sector, and improved commercial activity linked to enhanced security in the country. Notably, the Central Reserve Bank (BCR) has a more optimistic growth projection of 3% for the year, which is supported by the International Monetary Fund (IMF).

These positive projections highlight the continued progress of El Salvador’s economy, fueled by investment and security improvements.

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