San Salvador. Image by At the end of October 2024, the inflation rate in El Salvador, reported by the Central Reserve Bank (BCR), dropped to -0.07%, the lowest inflation point this year.
This marks the first time the country has recorded negative inflation since December 2020, when the rate was at -0.09%.
As of the end of October 2024, El Salvador’s inflation rate decreased by 2.73 percentage points compared to October 2023, dropping from 2.66% to -0.07% over the past 12 months.
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | Change 2023-2024 |
|
|---|---|---|---|---|---|---|---|
| January | 0.25 | -0.08 | 0.31 | 6.48 | 7.03 | 1.20 | -5.83 (-82.93%) |
| February | 0.35 | -0.39 | 1.06 | 6.67 | 6.82 | 0.80 | -6.02 (-88.27%) |
| March | 0.68 | -0.53 | 1.77 | 6.69 | 6.06 | 0.77 | -5.29 (-87.29%) |
| April | 0.80 | -1.05 | 2.79 | 6.55 | 5.44 | 1.14 | -4.30 (-79.04%) |
| May | 0.80 | -0.95 | 2.59 | 7.48 | 4.41 | 1.42 | -2.99 (-67.80%) |
| June | 0.53 | -0.23 | 2.59 | 7.76 | 3.78 | 1.48 | -2.30 (-60.85%) |
| July | 0.13 | -0.06 | 3.43 | 7.42 | 3.34 | 1.78 | -1.56 (-46.71%) |
| August | -0.49 | -0.30 | 4.30 | 7.66 | 3.09 | 1.17 | -1.92 (-62.14%) |
| September | -0.68 | -0.39 | 4.97 | 7.49 | 3.02 | 0.58 | –2.44 (-80.79%) |
| October | -0.87 | -0.21 | 5.49 | 7.47 | 2.66 | -0.07 | -2.73 (-102.63%) |
| November | -0.58 | -0.18 | 6.20 | 7.32 | 2.11 | ||
| December | 0.00 | -0.09 | 6.11 | 7.32 | 1.23 |
SEE ALSO: El Salvador’s Basic Food Basket Cost
Today’s inflation rate is the lowest of 2024 and the lowest since January 2021, when it stood at 0.31%.
Thus far in 2024, the highest inflation rate belongs to Restaurants and Hotels, standing at 4.62%; it is followed by the health sector with a rate of 2.60%. Third is the Alcoholic beverages and tobacco sector, with a 1.84% inflation.
| Dec 2023 |
Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| General Index | 1.23 | 1.20 | 0.80 | 0.77 | 1.14 | 1.42 | 1.48 | 1.78 | 1.17 | 0.58 | -0.07 | ||
| Food and non-alcoholic beverages | 3.98 | 3.60 | 2.15 | 2.21 | 2.34 | 2.71 | 3.63 | 4.53 | 3.12 | 1.21 | -0.34 | ||
| Alcoholic beverages, tobacco | 4.36 | 2.62 | 2.66 | 3.10 | 2.26 | 1.16 | 0.62 | 0.64 | 0.85 | 1.70 | 1.84 | ||
| Clothing and footwear | 0.65 | 0.48 | 1.08 | 1.37 | 0.83 | 1.03 | 1.18 | 1.00 | 1.15 | 0.75 | 0.71 | ||
| Accommodation, water, electricity, gas, and other fuels |
-0.26 | 0.36 | 0.02 | 0.29 | 0.60 | 0.44 | 0.80 | 1.13 | 1.03 | 1.15 | 1.68 | ||
| Furniture, household items, and ordinary household maintenance |
-1.74 | -2.31 | -1.41 | -1.65 | -1.42 | -1.27 | -1.66 | -1.42 | -1.39 | -1.69 | -1.96 | ||
| Health | 2.98 | 2.96 | 2.62 | 2.48 | 2.52 | 2.69 | 2.53 | 2.21 | 2.09 | 2.38 | 2.60 | ||
| Transportation | -4.27 | -3.72 | -3.08 | -3.79 | -1.04 | -0.05 | -2.19 | -2.87 | -4.34 | -4.29 | -5.34 | ||
| Communications | -1.52 | -1.53 | -0.89 | -0.90 | -0.90 | -0.83 | -0.70 | -1.23 | -0.90 | -0.94 | -0.69 | ||
| Recreation and culture | -2.12 | -2.07 | -2.98 | -3.33 | -3.03 | -2.68 | -2.40 | -2.34 | -2.20 | -1.95 | -2.47 | ||
| Education | 0.00 | 0.00 | 0.00 | 0.00 | 0.43 | 0.43 | 0.43 | 0.43 | 0.43 | 0.43 | 0.43 | ||
| Restaurants and hotels | 5.82 | 5.89 | 5.70 | 5.99 | 5.54 | 5.75 | 5.53 | 6.10 | 5.83 | 5.35 | 4.62 | ||
| Miscellaneous goods and services | 0.98 | 0.73 | 0.64 | 0.44 | 0.45 | 0.55 | 0.43 | 0.58 | 0.79 | 1.14 | 0.79 |
One of the crucial inflation rates impacting all Salvadorans is the food and non-alcoholic beverages rate, currently at -0.34%, the lowest this year. An increase or decrease in this rate affects the country’s essential food basket cost.
The October 2024 Salvadoran food and non-alcoholic beverage inflation rate has decreased by 4.32 or -108.54% since the end of December 2023. This decrease is good news for Salvadorans.
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | Change 2023-2024 |
|
|---|---|---|---|---|---|---|---|
| January | 0.82 | 1.28 | 0.12 | 8.95 | 12.22 | 3.60 | -8.62 (-70.54%) |
| February | 0.93 | 0.91 | 0.73 | 9.45 | 12.61 | 2.15 | -10.46 (-82.95%) |
| March | 1.22 | 1.07 | 1.15 | 9.81 | 11.62 | 2.21 | -9.41 (-80.98%) |
| April | 1.70 | 2.08 | -0.04 | 10.89 | 10.36 | 2.34 | -8.02 (-77.41%) |
| May | 2.34 | 2.26 | -0.87 | 13.28 | 8.35 | 2.71 | -5.64 (-67.54%) |
| June | 2.81 | 2.88 | -1.02 | 14.37 | 6.93 | 3.63 | -3.30 (-47.62%) |
| July | 1.61 | 3.30 | -0.07 | 14.19 | 6.40 | 4.53 | -1.87 (-29.22%) |
| August | -0.02 | 2.10 | 2.11 | 14.50 | 6.11 | 3.12 | -2.99 (-48.94%) |
| September | -0.16 | 1.43 | 3.94 | 13.55 | 5.98 | 1.21 | -4.77 (-79.77) |
| October | 0.71 | 0.67 | 6.07 | 12.82 | 5.91 | -0.34 | -6.25 (-105.75%) |
| November | 0.76 | 0.62 | 7.42 | 12.06 | 4.70 | ||
| December | 1.20 | 0.37 | 7.96 | 12.24 | 3.98 |
The inflation rate problem is a global issue and is not isolated to El Salvador. Due in large part to the measures implemented by the Nayib Bukele administration, the Salvadoran inflation rate continues to be one of the lowest in Latin America.
