El Salvador’s business sector is experiencing rapid expansion, with 4,497 new companies registered between January and October of 2024, according to data from the National Registry Center (CNR). This represents a 34.6% increase over 2023, when 3,341 companies were registered, and marks a 48% rise compared to 2018, when only 2,361 companies were established during the same period.

The impressive growth is attributed to the favorable economic policies and strong legal and social security framework under President Nayib Bukele’s administration. In a recent interview with Diario El Salvador, Minister of Economy María Luisa Hayem highlighted that the surge in business registrations is the result of the government’s successful economic strategies, which have bolstered investor confidence.

“It’s incredible to see the growth we’ve had, and we expect this year’s figures to significantly surpass last year’s,” Minister Hayem stated. She also emphasized that the technological sector has been a key driver of this increase, with many new startups focusing on innovation.

Minister Hayem pointed out that the registration numbers are even more significant when factoring in the growing number of brands and innovations being developed within the country’s business landscape. “There is a constant appetite to invest, confidence in the government, and alignment between our companies, our people, and investors with President Bukele’s vision,” she said.

The surge in business activity is also reflected in macroeconomic indicators, with El Salvador’s GDP growing by more than 3.5% in 2023. Minister Hayem stressed that this economic growth is supported by large-scale public infrastructure projects, investments in talent, and enhanced trade facilitation efforts, all of which are laying the groundwork for sustainable, inclusive growth.

Camilo Trigueros, Executive Director of the CNR, added that the rise in new businesses is part of a broader trend that has accelerated since President Bukele took office. He pointed to improved security conditions as a key factor contributing to the confidence of both local and foreign investors.

“El Salvador is open for business,” Trigueros said. “We have built a solid foundation with the legal certainty and business climate necessary for companies to operate efficiently, regardless of their sector or size.”

With continued investment in infrastructure and a favorable environment for entrepreneurship, El Salvador is positioning itself as a growing hub for businesses in Central America.