El Salvador’s economic engine kicked off the year with significant momentum, posting a 4.81% year-over-year growth in economic activity as of March 2026. According to the latest report from the Executive Secretariat of the Central American Monetary Council (Secmca), this expansion positions the nation as the third fastest-growing economy in the region, comfortably outpacing the Central American block’s average growth of 4.71%.

The surge was primarily fueled by high-value sectors that are increasingly attracting international interest. Professional, scientific, and technical activities led the rally with a remarkable 7.5% expansion, followed closely by a 5.8% increase in commerce, transportation, and tourism-related services, alongside a 5.5% growth in the financial and insurance sectors. These figures underscore El Salvador’s shifting economic landscape toward modern services and hospitality.

While industrial production advanced by 4% and real estate grew by 4.7%, the country’s construction sector experienced a notable stabilization, growing 3.1% compared to the massive infrastructure boom observed during the same period last year. Meanwhile, information and communications was the only sector to face a downturn, contracting by 1.8%.

Overall, the country accumulated a 4.40% economic growth during the first quarter of 2026. Although this reflects a slight deceleration from the rapid pace seen in early 2025, the cumulative performance marks a substantial leap forward from the 2.66% recorded in the same period last year, signalling robust resilience and steady long-term development for the nation.