Due to the dismissal of high ranking officials of the justice sector and the fact that President Bukele has strained his relationship with Washington, Salvadoran businessmen foresee an uncertain future for US investments that may come to the country.
After the dismissal of the magistrates of the Constitutional Chamber and the Attorney General in El Salvador, the business sector affirmed that this situation was "facts that consolidate an attack against democracy and threaten the liberties of Salvadorans."
In El Salvador during 2021, AES announced that it plans to invest between $60 and $75 million in the development of new solar energy projects and works in the distribution network.
In order to increase its production capacity in El Salvador by 58%, Holcim will invest $20 million in the reactivation of the Maya Plant and in improvements to the El Ronco Plant.
The company currently has a production capacity of 1.2 million tons of cement per year, but with the reactivation of the plant located in Metapan and the improvements of the other industrial complex, they intend to increase its capacity to 1.9 million tons.
Besides betting on sales through digital channels, the Payless store chain plans to open two new stores in El Salvador.
According to company executives, in this context of new commercial reality generated by the outbreak of covid-19, the shoe store chain will bet on face-to-face and online sales.
Relocating existing restaurants, strengthening the digital sales channel and identifying the areas where consumers are currently concentrated in order to choose the location of new stores are some of the strategies of the chains when executing their expansion plans.
As a result of the covid-19 outbreak, several expansion projects were affected, which must now reinvent themselves and adapt to the new commercial reality, in which consumers have different lifestyles.
Due to the precariousness of the English language, in recent years’ companies in the Contact Center & BPO sector have decided to close thousands of jobs in the region and relocate their investments to other markets where they have no difficulty in recruiting qualified personnel.
Reports at a global level show that the command of English is one of the weaknesses at a Central American level.
IDB Invest granted an $8 million loan to American Industrial Park, owner of an industrial park in El Salvador, to invest in expansion works and the installation of a photovoltaic park for self-powered electricity generation.
The financing, with an 11-year term, will enable American Industrial Park (AIP) to maintain its competitiveness over the medium term by expanding its 17,000 square meter industrial roof.
In the context of the tense diplomatic and commercial relationship between the two world powers, Central American countries could have the opportunity to attract new investments, as it is estimated that some American companies would need to migrate their operations to the American continent.
As a result of the tension between the two nations, Mauricio Claver-Carone, an advisor to President Trump, believes that U.S.
The health and economic crisis will result in a reordering of foreign investment at the global level, and countries like Central America will have the opportunity to take advantage of their geographical position to attract fresh capital.
The outbreak of covid-19 worldwide will cause a drop in production in 2020, however, by 2021 and 2022 the forecasts of international organizations anticipate that economic activity could rebound, a rise that would be coupled with new investments in various markets and sectors.
In order to redirect public resources due to the covid-19 outbreak, the government decided that investment projects that have not started to be implemented and those that are at an advanced stage will be suspended.
A letter signed by the Minister of Finance, Nelson Fuentes, and sent to the heads of state institutions, explains that the programs and projects contained in the Budget and Annual Public Investment Program Law (PAIP) are suspended.
An apartment tower in Honduras, the construction of a road in Guatemala and a multipurpose tower in Panama are part of the investments announced in the region for the coming months.
The interactive system "Construction in Central America", of the Trade Intelligence Unit of CentralAmericaData, includes an updated list of public and private construction projects to be developed in the coming months.
During 2020, Holcim announced that it will invest $7.5 million in the construction of six concrete production plants and the purchase of machinery.
The new concrete plants that the company is already building will be in Santa Ana, Acajutla, Apopa, Ilopango, La Paz and La Unión. These will be in addition to the 12 that Holcim already operates in the country.
In El Salvador, the electricity distribution company Delsur announced that this year it plans to invest in building a substation, increasing power transfer capacity and electrifying rural areas.
Directors of the company reported that for this year it is considered to start the construction of the new substation El Volcán, which will serve as an energy supply point for the metropolitan area of Santa Tecla and will require about $2.6 million.
Electricity distributor AES El Salvador announced that this year it plans to invest $36 million in modernizing the network, which includes the renovation of 8,120 residential and industrial meters.
The company's directors informed that they are contemplating works to expand the electricity distribution networks, the renovation of smart meters, the maintenance of overhead lines and the growth in the construction of underground networks.
The Pollo Campero chain announced that it plans to invest close to $14 million in the remodeling and installation of new restaurants in Guatemala, El Salvador and Mexico.
Company executives said that investments in Guatemala and El Salvador will reach $13 million, and in the case of Mexico, approximately $700,000 will be disbursed.