El Salvador’s financial system demonstrated robust momentum as the total banking loan portfolio expanded 10.5% year-over-year to reach $20,278.8 million by late August 2026. This $1,922.7 million growth reflects a decisive pivot toward economic expansion, with business and productive credit growing at nearly double the pace of personal consumer lending.

Driving this financial surge, productive activities captured $1,280.9 million—or roughly 2 out of every 3 dollars—of all new credit extended over the past twelve months. Total productive loans rose 13.4% to $10,813.5 million, expanding their share of the overall portfolio to 53.3%. Meanwhile, consumer lending posted a more modest 6.9% uptick, pushing its market share down to 31.2%.

The construction sector spearheaded this economic push with a spectacular 25.6% year-over-year expansion to reach $1,557.7 million, closely followed by services with a 20.5% gain. Commerce maintained its position as the largest single productive engine, absorbing $3,343.8 million after generating the highest absolute increase across the entire banking sector with $426.2 million in new financing.

Overall financial system stability supported this credit boom, with total assets rising 9.6% to $29,970.2 million and deposits jumping 13% to $23,757.5 million. Financial authorities highlighted that the national banking network maintains strong risk management controls, noting that the system’s non-performing loan ratio declined to a solid 1.5% alongside a healthy capital adequacy ratio of 14.3%.