El Salvador’s recent credit rating upgrade from Caa1 to B3 by the American ratings agency Moody’s has sparked a wave of optimism among the country’s business community. The decision, announced on Tuesday, highlights the country’s progress in key areas such as security, economic management, and institutional strengthening, prompting positive feedback from business associations and entrepreneurs.
Silvia Cuéllar, president of the Corporation of Exporters of El Salvador (Coexport), described the upgrade as a significant boost for the nation’s investment climate. She emphasized that the improvement in the country’s credit rating underscores the legal security that makes El Salvador an attractive destination for foreign investment. «This is very good news because it gives us better perspectives in attracting investment to the country, generating more jobs and more exports,» Cuéllar said.
The positive rating adjustment also resonated with the Salvadoran fintech sector. Erick Chacón, president of the Salvadoran Fintech Association (Asafintech), highlighted that the upgrade opens the door for easier access to financing, which could drive innovation and growth in the country’s emerging financial technology companies. «A better credit rating facilitates financing under more favorable conditions, which is essential for the development of Salvadoran fintech startups,» Chacón stated.
José Roberto Rodríguez, co-founder of Impact Hub, also welcomed the news, noting that the improved rating reflects El Salvador’s growing economic stability and its efforts to create a favorable environment for investment. He underscored that the country’s focus on security, fiscal consolidation, and placing technocrats in key economic positions has contributed to this positive shift. «This reinforces our vision of positioning El Salvador as the global epicenter of technological startups,» Rodríguez added.
The Salvadoran Chamber of Tourism (Casatur) also praised the upgrade. Vice President José Miguel Carbonell noted that the rating aligns with the government’s ongoing efforts to strengthen the national economy, including debt repurchase initiatives and recent engagements with the International Monetary Fund (IMF).
Carmen Aída Muñoz, executive director of the American Chamber of Commerce of El Salvador (AmCham), celebrated the improved rating as a signal to international investors that the country is on the right track. «El Salvador is opening up to the world. This confirms, through a third-party rating agency, what we at AmCham have been saying for years: the country’s path is positive, not only in terms of security but also in economic stability,» Muñoz remarked.
The recent upgrade marks the third positive adjustment by Moody’s, following a previous upgrade from Caa3 to Caa1 in May. With each improvement, El Salvador continues to enhance its international standing and attract greater investor confidence.
