The Salvadoran Congress has greenlit the General State Budget and Special Budgets Law for the Fiscal Year 2024, signaling a commitment to prioritizing education, health, and security. The approved budget, totaling $9,068.7 million, reflects a growth of $166.1 million (1.9%) compared to the 2023 budget of $8,902.7 million.
The cornerstone of this financial plan is the unwavering commitment to allocate substantial resources to key sectors, with education leading the way. Education receives the lion’s share, amounting to $1,566.9 million, marking a $64.4 million increase from the previous year. Health follows closely with $1,261.2 million, a significant boost of $130 million. Justice, Security, and Defense are allocated $866 million, showing an increase of $27.2 million.
The combined budget for these pivotal areas stands at $3,694.1 million, a substantial investment aimed at improving the lives of Salvadorans. Members of the New Ideas party emphasized that the 2024 national budget, the highest in El Salvador’s history, will primarily focus on enhancing security measures, supporting educational initiatives for children and adolescents, and facilitating the construction and improvement of the public hospital network.
The budget includes noteworthy infrastructure projects such as the construction of the viaduct on the Los Chorros highway, the new Rosales hospital, the Nejapa hospital, and various other ventures. The Ministry of Finance’s fiscal projection anticipates tax revenues of $6,870 million, indicating an 8.6% increase of $543 million compared to the current year’s budget. This rise is attributed to the successful implementation of anti-evasion and anti-smuggling plans, coupled with the diligent efforts of the tax administration in ensuring responsible financial management.
Furthermore, the Legislative Assembly, with a resounding 64 votes, approved a favorable report authorizing the Executive branch to issue bonds in international markets amounting to $338.6 million. This move aims to secure the necessary funds to bridge the budget gap for the upcoming year through either bond placements or loan agreements.
During the deliberation on the national spending plan in the congressional finance committee, Cian party representative William Soriano highlighted the exhaustive work and discipline applied to reduce the fiscal gap to $338.6 million, contrasting it with unsustainable levels seen in past budgets. The approved plan reflects a strategic and responsible approach to safeguarding El Salvador’s fiscal stability while fostering growth and development in critical sectors.