Small business optimism in El Salvador has climbed to an all-time peak, driven by robust economic expansion and a safer operating environment. According to the MYPE 2026 State Report published by the FUSAI Foundation’s MYPE Observatory and Flacso, entrepreneurial confidence surged to 47.1 points, lifting the Business Confidence Index to a record 109.1. This landmark result marks the highest confidence level recorded across 25 quarters of tracking since mid-2020.
The record-setting confidence aligns with a surging Salvadoran economy, which posted a 4.8% GDP growth in the first quarter of 2026—more than doubling the 2.2% historical average seen over the past 17 years. Key growth drivers include steady increases in private investment alongside a dramatic drop in crime and extortion, which has drastically improved commercial mobility and reduced daily operational costs for entrepreneurs.
Micro, small, and medium enterprises (MSMEs) form the backbone of the national economy, accounting for 99% of all businesses, nearly 49% of GDP, and over two-thirds of employment across 925,815 enterprise units. While optimism remains high across all sectors, small enterprises expressed the highest expectations (67.7 points), with commerce and service industries leading the surge.
Commenting on the landmark survey results, Rafael Pleitez, coordinator of the MYPE Observatory, noted that “micro and small enterprises have reached their record level in confidence since measurement began in 2020; they are eager to grow, but the ecosystem must be strengthened to turn this momentum into higher sales, employment, and investment.”