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Investment & Legal Framework
We will randomly list all of the positive aspects for
you to get to know El Salvador as one of the most
attractive countries in the area, so enjoy:
Dollarized Economy
Since 2001, El Salvador uses the U.S. Dollar as its
currency. This greatly facilitates foreign companies
to establish themselves in El Salvador because
of the trust and liquidity transmitted by a currency
that is traded worldwide. It is worth mentioning that
neighboring countries do not have this advantage.
Political and Economical Stability
El Salvador has had over 18 years of peace, political
stability and its accountability has controlled its
principal economic aspects such as inflation and
sustainable growth.
Freedom to Do Business
The World Bank document “Doing Business” has
provided an objective measure for doing business
in 181 countries since 2009. Among the evaluated
criteria to determine the degree of ease in conducting
business in a specific country were procedures to
open and close a business, property registration,
and investors’ protection to mention a few.
El Salvador is one of the first five Latin American
countries with the greatest simplicity to conduct
business, even surpassing large regional powers such
as Brazil.
TRANSPARENCY INDEX TO
DO BUSINESS with
One of the main reasons foreign investors choose El
Salvador as a destination to invest, is the transparent
and fast treatment they receive from government
authorities. According to Transparency International,
a global institution created in 1993 with headquarters
in Berlin, Germany, El Salvador is perceived as the
second most transparent country in the Central
America region.
In this aspect, the government has made
Transparency its motto and is preparing a strict law
to enforce this area totally.
Laws that Attract Investment
El Salvador has a package of laws specifically
created to directly attract and develop foreign
investment.
Strategic Position
El Salvador is located between North and South of
America half way between Asia and Europe, which
gives it great possibilities as a logistic distribution
center and international hub.
Free Trade Agreements
The agreements it has with its neighbors such
as Honduras, Guatemala, Nicaragua, as well as
with the United States, Panama, Chile, Mexico,
the Dominican Republic, Taiwan, Colombia and
Peru open numerous opportunities for business.
Furthermore, the country has just signed an
agreement with Europe.
The Best Infrastructure of the Region
El Salvador is proud to have the best maintained and
developed road system of the region. It also has the
largest and most modern airport of the region, which
is about to be expanded and its services enhanced.
In addition, it has the ports of Acajutla and La Union;
this latter has the potential of competing with the
Panama Canal and making El Salvador an important
point of reference in container trade.
The Best Telecommunication System
Covering almost 100% of the territory it is possible
to talk on a mobile phone from any corner of the
country. The fact that 4 international companies are
competing for a market of 6 million inhabitants and
over 6 million mobile phones and 1 million land lines,
allows Salvadorans access to numerous telephone
stores where they can get any cell phone from the
least expensive to the latest model to hit the market.
Skilled Labor at Low Cost
The richness of El Salvador lies in its people, who
are used to overcoming difficult situations and do
not crumble to climatic adversities. Salvadorans
are very active with lots of self initiative. They like to
work and are considered efficient workers. Morover
Salvadoran people are very kind and this is reflected
on the global satisfaction indexes of El Salvador.
From the entrepreneurs point of view, manual labor is
accessible being that the minimum wage is 210USD$
per month. They are also well prepared with an
educational system capable of training professionals
that perform well and are proficient in English.