San Salvador El Salvador. The Economic Commission for Latin America (ECLAC) projects an economic growth of 3% for El Salvador in 2025, the lowest in Central America.
ECLAC, also known as CEPAL, decreased its projection from the 3.1% predicted in its August 2024 report.
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | |
|---|---|---|---|---|---|---|
| El Salvador | -7.9 | 11.2 | 2.8 | 3.5 | 3.0 | 3.0 |
ECLAC’s 2025 projected economic increase is similar to the International Monetary Fund (IMF) prediction; and it is higher than the 2.7% economic growth estimated by the World Bank (WB).
The Salvadoran economy will have the third lowest economic growth in Central America in 2025.
According to ECLAC, Costa Rica is expected to lead economic growth in Central America with a projected 3.8%, followed by Guatemala at 3.5%, Nicaragua and Panama at 3.3%, Honduras at 3.2%, and El Salvador at 3.0%.
| 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | |
|---|---|---|---|---|---|---|
| Costa Rica | -4.3 | 7.8 | 4.6 | 5.1 | 4.1 | 3.8 |
| Guatemala | -1.8 | 8.0 | 4.2 | 3.5 | 3.5 | 3.5 |
| Nicaragua | -1.8 | 10.4 | 3.8 | 4.6 | 3.7 | 3.3 |
| Panama | -17.7 | 15.8 | 10.8 | 7.3 | 2.7 | 3.3 |
| Honduras | -9.0 | 12.5 | 4.1 | 3.6 | 3.6 | 3.2 |
| El Salvador | -7.9 | 11.2 | 2.8 | 3.5 | 3.0 | 3.0 |
SEE ALSO: Salvadoran Central Reserve Bank (BCR) Economic Growth Projection: What to Expect
According to the CEPAL report, In 2025, regional GDP growth is projected at 2.4%, remaining relatively low. South America’s GDP is expected to grow by 2.6%, while Central America is forecasted to see a 2.9% expansion, maintaining a similar pace to 2024.
