El Salvador’s economic engine is firing on all cylinders as the nation’s productive activity registered a remarkable 5.2% year-on-year growth. Driven primarily by an aggressive boom in building and infrastructure development, the latest Economic Activity Volume Index (IVAE) updated by the Central Reserve Bank (BCR) indicates this is the highest expansion rate the country has witnessed in the last five months.

The construction sector remains the undisputed powerhouse of this economic acceleration, skyrocketing by 13.6%. This rapid expansion has triggered a powerful domino effect across related industries, most notably pushing real estate activities to a 6.1% growth rate, effectively marking its highest expansion level since January 2020. Experts attribute this dual momentum to a healthy mix of private capital flowing into commercial and residential hubs, coupled with critical public investments.

This economic milestone is heavily supported by strong domestic dynamics despite ongoing international market pressures. Highlighting the synergy behind these figures, officials from the Planning Office of the San Salvador Metropolitan Area (OPAMSS) noted that working hand-in-hand with private guilds has “strengthened the confidence to promote investments” across strategic regions like San Salvador and the coastal zones.