El Salvador's economy demonstrated robust performance in the third quarter of 2025, achieving a significant 5.1% growth compared to the previous year. This positive trend, confirmed by the Banco Central de Reserva (BCR), reflects a dynamic period of economic expansion, pushing the Gross Domestic Product (GDP) to USD 9,194.6 million and showcasing increased activity across the nation's productive sectors.
Driving Forces Behind the Expansion
The impressive growth was largely propelled by a diverse range of economic activities. From a production standpoint, 16 out of 19 sectors registered positive results, with construction leading the charge at an extraordinary 27.1% growth. This sector's boom highlights substantial investment in infrastructure, both public and private. Other high-growth areas included mines and quarries (23.3%) and professional services (20.5%), underscoring a broad-based economic uplift. Significant contributions also came from transport, financial services, manufacturing, hotels and restaurants, and commerce, among others, pointing to a resilient and diversified economic landscape, despite minor declines in water, health, and government services.
Investment, Trade, and Sectoral Contributions
From an expenditure perspective, investment emerged as a primary engine, soaring by 24.7%. This was complemented by a solid 6.6% increase in exports and a 3.2% rise in private consumption. The construction sector continued its pivotal role, not only generating direct employment but also stimulating related industries. Manufacturing showed a clear recovery, particularly in processed foods and various goods, solidifying its strategic importance in foreign trade, accounting for over 94% of both exports and imports. Furthermore, a robust financial system, marked by 7.6% credit growth and 20.7% deposit increases, provided crucial support. Enhanced security conditions, along with a vibrant tourism sector boosted by cultural events and holidays, further amplified this economic dynamism, consolidating El Salvador's upward trajectory throughout 2025.
