Across two different governments and time periods, El Salvador quietly sold off nearly all of its national gold reserves — one of the country’s most important financial assets.
Between 2004 and 2015, successive administrations dismantled over 93% of the nation’s gold holdings, leaving the Central Bank with barely any of this strategic metal.
In 2004, El Salvador held 683,113 troy ounces of gold. But by 2015, after years of sales under two different political parties — a right-wing administration led by former president Elías Antonio Saca, and a left-wing administration under Salvador Sánchez Cerén — the country’s reserves had been almost completely liquidated.
📉 How El Salvador’s Gold Was Sold Off
- 2004–2009: The Saca administration (right-wing).
The first sale took place in November 2004, just months after Saca took office.
His government carried out eight separate transactions, selling around 286,000 ounces of gold at prices ranging from US$425 to US$670 per ounce, for a total of US$117.6 million.
At today’s prices, that gold would be worth over US$1.2 billion. - 2014–2015: The Sánchez Cerén administration (left-wing).
A decade later, the new government continued the liquidation.
It sold another 353,000 ounces, valued at US$422 million at the time — the largest portion ever sold by any administration.
This final wave effectively wiped out more than 93% of El Salvador’s entire gold stockpile.
According to data from the World Gold Council and Reuters, El Salvador’s official gold holdings fell from 21.3 metric tons in 2004 to less than 0.3 tons by 2015 — one of the steepest declines in Latin America’s recent history.
Together, these two governments stripped the country of nearly all its gold, a resource that today would be worth about US$2.7 billion based on current market prices of around US$4,200 per ounce.
⚠️ A Costly Decision for Future Generations
At the time, officials described the sales as “technical decisions” by the Central Bank.
But in hindsight, those moves look more like a short-sighted liquidation of a national safety net.
Had El Salvador retained its gold, the country would today have a powerful financial buffer against inflation, currency instability, or global crises.
While both right- and left-leaning governments share responsibility, the largest and final liquidation occurred under the left-wing administration — the one that ultimately sold more than half of all the remaining gold.
🟠 A Turning Point in 2025
For the first time in more than three decades, El Salvador’s Central Bank made a new gold purchase in September 2025 — acquiring 13,999 troy ounces for about US$50 million.
This raised the country’s reserves to 58,105 ounces, marking the first gold acquisition since 1990.
Although still a small amount, the move symbolized a shift toward rebuilding what was lost.
Is El Salvador preparing for a future where the U.S. dollar, like all fiat currencies, eventually loses its strength?
💬 The Lesson
The numbers tell a painful story:
- The 2004–2009 government sold roughly 42% of the country’s gold.
- The 2014–2015 government sold more than 51%.
- Together, they liquidated over 93% of El Salvador’s national gold reserves.
When a nation trades its long-term security for short-term cash, it mortgages its future.
El Salvador’s past leaders didn’t just sell gold — they sold the country’s financial shield.
El Salvador’s experience stands as a warning to every small nation:
when short-term politics override long-term financial strategy, entire generations pay the price.
