The construction industry has emerged as a key pillar of El Salvador’s economic development, according to José Velásquez, President of the Salvadoran Chamber of Construction (Casalco). Velásquez highlighted that the sector is one of the largest contributors to the national economy, with residential developments accounting for 75% of ongoing projects.
“The sector is stable, and we are confident that it will continue to grow. Private investment remains strong, particularly in residential projects, as there is still a significant housing deficit,” Velásquez emphasized. He also noted that there are ongoing efforts between the government and private sector to promote social housing projects, with plans for homes priced between $60,000 and $100,000.
In previous statements, Velásquez indicated that 65% to 70% of construction projects are now high-rise buildings, reflecting a growing preference for apartment living.
Velásquez also credited the sustained growth of the industry to both private investment and strategic government projects under President Nayib Bukele. Projects such as the Los Chorros viaduct, the Pacific Airport, and the National Stadium of El Salvador are expected to boost the demand for materials and labor, further invigorating the sector.
With an estimated 15% growth in 2024, exceeding the 13.5% increase in 2023, the construction industry is set to continue its upward trajectory. Last year alone saw $2 billion in combined public and private investment.