Companies in El Salvador that do not comply with the biosecurity measures stipulated in the protocols for reopening the economy may be sanctioned with the temporary closure of their operations.
In the process of reactivating economic activities that were suspended due to the spread of covid-19, the Salvadoran authorities have established protocols for the proper functioning of companies.
Speeding up the repayment of the tax credit, repealing the Solidarity Tax, approving the Leasing Law, reforming the Banking Law and the Free Zone Law, is part of what Guatemalan businessmen are proposing to reactivate the economy in this context of crisis.
At present, Guatemala is immersed in a severe economic crisis, which was generated by the restrictions to productive activities that were decreed due to the outbreak of covid-19.
After in May this year and in the context of the economic crisis, the IMAE in Guatemala registered a -12% year-on-year variation, during June 2020 the contraction of production was lower, reporting a 9% fall compared to the same month in 2019.
In the current economic crisis resulting from the spread of covid-19, the activities that have most boosted the drop in production are trade, tourism and transport, reported the Bank of Guatemala.
In April the Central Bank of Costa Rica predicted that by the end of 2020 GDP would fall by 3.6%, but due to the current health and economic crisis scenario the projections worsened, and now a 5% contraction in production is estimated.
The effect of the current international situation would be transmitted to the national economy through various channels: growth in trading partners, lower prices of raw materials and financial conditions, according to an official report.
After authorities suspended the start of Phase 2 on two occasions, the government of El Salvador announced that the second phase of the economic reopening plan would begin on August 20.
July 19 was the second time that the entry into force of this Phase was postponed, as it was initially planned to begin the second stage of the economic reopening process as of July 7, which contemplates the reactivation of the plastic, paper, cardboard and footwear industries, in addition to call centers, restaurants and public transportation.
The Council of Ministers approved that Tegucigalpa and San Pedro Sula will return from July 29 to Phase I of the Opening Plan, which allows companies to operate with 20% of their workforce.
According to the proposal put forward by the Multisectoral Table, commerce and companies in general were authorized so that as of Wednesday, July 29, they can resume their activities and business, according to the percentage of the workforce, as per the authorized region, using the biosecurity protocols approved by the Ministry of Labor and Social Security.
As of July 27, the different production activities can be carried out, as long as the restrictions of the Health Alert System for the covid-19 epidemic are met, which will have a municipal, departmental or regional scope.
After more than four months of restrictions on the mobility of people and some economic activities, President Alejandro Giammattei explained on the night of July 26 that the country will enter a phase of reopening the economy.
After suspending the process of reopening the economy, on July 27 the country will resume Phase I in Region 3, which provides for the reactivation of operations of companies with 20% of their workforceº
President Nayib Bukele announced his decision to delay for a second time the start of Phase 2 of the Economic Reopening Plan, which was scheduled for July 21.
"After hearing the opinions of experts and, above all, the Ministry of Health, the governing body for health, and despite the fact that what our country needs is strict quarantine and not just complementary measures, I have decided to suspend Phase 2 of the economic reopening," Bukele explained on his Twitter account.
In order to control the spread of covid-19, the authorities decided to decree total quarantines on Saturdays and Sundays in the provinces of Panama and West Panama.
Health Minister Luis Francisco Sucre, reported that the total quarantine is established for Saturdays and Sundays, which will be in effect from this Friday, July 17, until further notice. The measure is lifted on Mondays at 5:00 am. These measures apply to Panama and West Panama.
The Government will decide whether or not to remove the restrictions imposed by the spread of covid-19, based on the number of cases per 100,000 inhabitants reported by municipality, department or region.
On July 12 on a national channel, President Alejandro Giammattei announced that as of July 27 a health alert system will be established to de-escalate and escalate the restrictions.
At the height of the pandemic and economic crisis, the Costa Rican president announced, on a national chain, an economic recovery plan with no clear direction, no assigned leaders and no concrete actions.
In the message broadcast on the night of July 12, President Carlos Alvarado vaguely explained part of the plan to be adopted to overcome the health and economic crisis generated by the spread of covid-19.
Arguing that the number of infections and deaths is increasing quickly because of the spread of covid-19, President Bukele decided to postpone the entry into force of the second phase until July 21.
Initially, the second phase of the economic reopening process was scheduled to begin on July 7, and would include the reactivation of the plastic, paper, cardboard and footwear industries, as well as call centers, restaurants and mass transportation.
During April 2020 the Monthly Index of Economic Activity in the country reported a 35% year-on-year variation, a fall that is explained by the restrictions imposed following the outbreak of covid-19.
The most affected activities were: Construction, Hotels and Restaurants, Commerce, Manufacturing Industry, Other community, social and personal service activities, among others.
After almost 100 days of restrictions on the mobility of people and the closure of some productive activities, the Guatemalan private sector is asking the authorities to start evaluating the gradual opening of businesses under strict protocols.
Due to the outbreak of covid-19, the authorities decreed the closure of several economic activities since mid-March, and up to date restrictions to the operation of some sectors are still in place.