The economy of El Salvador expanded 2.2 percent year-on-year in the last three months of 2018, the same as in the previous period, mainly due to a rebound in exports (2.2 percent compared to -0.8 percent in Q3) and a slowdown in imports (2.6 percent compared to 8.9 percent). On the other hand, softer increases were seen for private spending (1.8 percent compared to 4.9 percent) and gross fixed capital formation (1.2 percent compared to 12.5 percent) while public expenditure contracted (-0.5 percent compared to 1.5 percent). On a quarterly basis, the economy advanced 1.1 percent, higher than 0.6 percent in Q3. Considering full 2018, the economy expanded 2.5 percent, above 2.3 percent in 2017. GDP Annual Growth Rate in El Salvador averaged 3.11 percent from 1991 until 2018, reaching an all time high of 8.10 percent in the second quarter of 1995 and a record low of -2.60 percent in the third quarter of 2009.
GDP Annual Growth Rate in El Salvador is expected to be 1.90 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate GDP Annual Growth Rate in El Salvador to stand at 2.40 in 12 months time. In the long-term, the El Salvador GDP Annual Growth Rate is projected to trend around 2.00 percent in 2020, according to our econometric models.