El Salvador continues to position itself as an increasingly attractive destination for international capital. In the first quarter of 2025, the country received $322.24 million in foreign direct investment (FDI)—an increase of $126.5 million compared to the same period in 2024, according to the Central Reserve Bank of El Salvador (BCR). This represents a growth of over 64% year-over-year.
This capital inflow reflects growing confidence in the country, not only from companies but also from individual investors seeking opportunities in various sectors of El Salvador’s economy. The increase includes both corporate expansions and private investments in areas like real estate, services, and technology.
The top five countries of origin for these investments were:
- Panama – $151 million
- Spain – $57.7 million
- United States – $27.1 million
- Honduras – $24.2 million
- Bahamas – $19.7 million
It is important to note that these figures do not represent direct investment by governments, but rather private capital originating from these countries—whether through businesses, investment funds, or individuals.
The complete list of countries investing in El Salvador during Q1 2025 includes:
- France ($9.4 million)
- The Netherlands ($9.1 million)
- Mexico ($8.1 million)
- Colombia ($7.8 million)
- Germany ($7.6 million)
- Cayman Islands ($5.4 million)
- Luxembourg ($4.1 million)
- Brazil and Switzerland ($1.8 million each)
These flows have contributed to greater economic activity and job creation across multiple sectors in the country.
Luis Rodríguez, Executive Director of the Office of Planning for the Metropolitan Area of San Salvador (OPAMSS), highlighted that recent foreign investors are showing interest in logistics, housing, and service projects, especially those involving new technologies.
“We are working closely with each foreign investor—both those newly arriving and those already operating in the country—to expand El Salvador’s investment portfolio,” he said.
Minister of Economy María Luisa Hayem has also stated that El Salvador is now on a “shortlist for investment” among international players, thanks to the reforms and stability that have improved the overall business environment.
Recently, a delegation of 45 Mexican entrepreneurs visited the country to explore investment opportunities in telecommunications, food production, and financial services.
Secretary of Commerce and Investment Miguel Kattan emphasized the country’s strategic value:
“El Salvador is now the safest country in the Western Hemisphere—there’s no doubt about it. We’ve established public-private dialogue spaces and long-term policies to promote trade and investment. We’ve strengthened fiscal and financial stability, managed macroeconomic indicators, and earned international market confidence.”
While a total of $322 million may not seem remarkable on a global scale, it’s important to consider that El Salvador is a small country with a population of 6.5 million. In that context, even modest foreign investment can have a significant impact, helping to drive development, innovation, and employment.
