El Salvador is one of eight Latin American countries that lowered their central government debt as a percentage of GDP, according to a fiscal report released Monday by the Economic Commission for Latin America and the Caribbean (ECLAC).
The report shows that El Salvador’s debt dropped from 53.8% of GDP in 2023 to 51% in 2024, a 2.8-point decrease. “Public debt levels fell in eight countries — including Argentina, El Salvador, and Nicaragua — while they rose in nine others,” the document notes.
Across the region, the average debt fell from 53.8% to 51.2% of GDP, largely due to a methodological change in Argentina that led to a sharp drop in its reported debt.
El Salvador still has one of the highest central government debt levels in Central America, behind Panama and Costa Rica. When including broader obligations like the non-financial public sector and the pension system, El Salvador’s total public debt reaches $30.9 billion, or 87.5% of GDP.