El Salvador’s ambassador to the United States, Milena Mayorga, revealed in a recent virtual interview that the Salvadoran diaspora has injected over $700 million in investments into the country. Despite challenges in transferring funds, Mayorga highlighted the success of Salvadoran businesses and individuals expressing their commitment to opening ventures in El Salvador.
Mayorga, while refraining from specifying the time frame or countries of origin, emphasized the significant impact of these investments on various sectors. She asserted that with improved mechanisms for international fund transfer, Salvadorans abroad would likely contribute even more to local businesses.
The diplomat stressed that the diaspora’s influence extends beyond individual ventures, noting that Salvadoran entrepreneurs are facilitating collaboration with foreign companies. «They have set up call center businesses to provide services from El Salvador, establishing positive relations with non-Salvadoran entities,» Mayorga stated.
One sector particularly benefitting from this influx of investment is construction. Mayorga underlined the surge in building projects, especially apartments catering to Salvadorans living abroad. She linked this development to the broader goal of providing affordable housing and urged consideration of this aspect in future endeavors.
The Central Reserve Bank (BCR) underscored this trend, noting that the country’s investment dynamics align with the growth in both residential and non-residential projects. Construction emerged as the third-highest contributor to the Gross Domestic Product (GDP) within the economy.
In November, the Ministry of Economy (Minec) reported that approximately 49 buildings were under construction in the municipality of San Salvador. The synergy between diaspora investment and the construction sector showcases a positive trajectory for El Salvador’s economic landscape.
As El Salvador continues to foster collaborations between its diaspora and local industries, the nation anticipates further economic growth and development.