El Salvador Economy
Economy - overviewWith the adoption of the US dollar as its currency, El Salvador has lost control over monetary policy and must concentrate on maintaining a disciplined fiscal policy. GDP per capita is roughly only half that of Brazil, Argentina, and Chile, and the distribution of income is highly unequal. The trade deficit has been offset by annual remittances of almost $2 billion from Salvadorans living abroad and external aid. The government is striving to open new export markets, encourage foreign investment, modernize the tax and healthcare systems, and stimulate the sluggish economy.
GDP
purchasing power parity - $30.99 billion (2003 est.)
GDP - real growth rate
1.4% (2003 est.)
GDP - per capita
purchasing power parity - $4,800 (2003 est.)
GDP - composition by sector
agriculture: 9.4%
industry: 31.2%
services: 59.3% (2003)
Investment
16.2% of GDP (2003)
Population below poverty line
48% (1999 est.)
Household income or consumption by percentage share
lowest 10%: 1.4%
highest 10%: 39.3% (2001)
Distribution of family income - Gini index
52.2 (1998)
Inflation rate
2.1% (2003 est.)
Labor force
2.62 million (2003)
Labor force - by occupation
agriculture 30%, industry 15%, services 55% (1999 est.)
Unemployment rate
6.5% - but the economy has much underemployment (2003 est.)
Budget
revenues: $2.434 billion
expenditures: $2.625 billion, including capital expenditures of NA (2003 est.)
Public debt
43.7% of GDP (2003)
Agriculture - products
coffee, sugar, corn, rice, beans, oilseed, cotton, sorghum; shrimp; beef, dairy products
Industries
food processing, beverages, petroleum, chemicals, fertilizer, textiles, furniture, light metals
Industrial production growth rate
1.6% (2003 est.)
Electricity - production
3.729 billion kWh (2001)
Electricity - consumption
3.777 billion kWh (2001)
Electricity - exports
44 million kWh (2001)
Electricity - imports
353 million kWh (2001)
Oil - production
0 bbl/day (2001 est.)
Oil - consumption
39,000 bbl/day (2001 est.)
Oil - exports
NA (2001)
Oil - imports
NA (2001)
Current account balance
$-734 million (2003)
Exports
$3.162 billion (2003 est.)
Exports - commodities
offshore assembly exports, coffee, sugar, shrimp, textiles, chemicals, electricity
Exports - partners
US 67.8%, Guatemala 11.5%, Honduras 5.9% (2003)
Imports
$5.466 billion (2003 est.)
Imports - commodities
raw materials, consumer goods, capital goods, fuels, foodstuffs, petroleum, electricity
Imports - partners
US 50%, Guatemala 8.1%, Mexico 5.5% (2003)
Reserves of foreign exchange & gold
$2.061 billion (2003)
Debt - external
$6.575 billion (2003 est.)
Currency
US dollar (USD)
Currency code
USD
Exchange rates
the US dollar is the legal tender
