AGP Executive Report

Bitcoin Education & Adoption: El Salvador is rolling out hands-on Bitcoin training via Casa Bitcoin, using Lightning Network practice (including small channel funding) to teach everyday digital payments. Cornell’s Bitcoin Adoption Index also ranks El Salvador highest for people who’ve ever owned Bitcoin, linking usage to currency instability and limited dollar access. Sovereign Crypto Holdings: The Bitcoin Office says El Salvador’s reserve hit 7,762 BTC, worth about $598M at ~$77K per coin, continuing the “buy one per day” policy despite IMF reservations. Remittances Go Digital: Cryptocurrency remittances to El Salvador rose 35.7% in Jan–Jul 2026 to about $41.1M, though they remain a small share of total inflows. Fintech Funding: US-based Félix Pago raised $200M to scale remittances and expand into lending and savings for Latino immigrants, using a WhatsApp-based experience. Trade & Tourism: El Salvador pushed deeper Asian ties after the Japan–LAC Business Forum with B2B meetings and investment pitches, while the IDB and Agrisal launched “El Salvador 2050” to support senior-friendly tourism and workforce inclusion. Construction & Industry: Cemento Panam (Grupo Estrella) acquired Cementos Fortaleza’s plant in Acajutla, adding 350,000 tons of annual capacity. Digital Assets Regulation: CNAD added 233 tokenized assets to El Salvador’s state registry in 2026, including tokenized shares tied to Apple, Microsoft, and Walmart.

Bitcoin Policy: El Salvador’s Bitcoin Office says the national reserve hit 7,762 BTC, worth about $598M at ~$77,000 per coin, as the government keeps buying 1 BTC per day even after IMF concerns in its $1.4B financing deal. Fintech Expansion: Félix Pago, the WhatsApp-based remittance platform for Latino immigrants, closed a $200M Series C (a16z and General Catalyst) and plans to add lending and savings, aiming for a “financial companion” experience. Digital Assets Regulation: El Salvador’s CNAD added 233 tokenized assets to its state registry in 2026, including tokenized shares tied to Apple, Microsoft, and Walmart. Tokenized Markets: Bitfinex Securities listed tokenized Bitcoin-treasury-linked products tied to Strategy and Metaplanet, with CNAD approval noted for the underlying structure. Construction Deal: Cemento Panam (Grupo Estrella) acquired Cementos Fortaleza’s Acajutla plant in El Salvador, adding 350,000 tons of annual capacity. Immigration Pressure (US): A report says private debt collectors are helping DHS impose large civil penalties on immigrants, charging steep fees that few migrants can pay. Stablecoin Push (US/Global): Goldman Sachs, Bank of America, Citi and others plan a bank-backed dollar stablecoin launch in 2027.

Digital Assets & Tokenization: El Salvador’s CNAD added 233 new tokens to its official state registry in 2026, including tokenized shares tied to Apple, Microsoft and Walmart, signaling deeper integration of global equities into the country’s regulated digital-asset framework. Fintech & Remittances: Félix Pago, the Miami fintech popular with Latino migrants via WhatsApp, closed a $200M Series C and plans to expand beyond remittances into lending, savings and AI-driven financial guidance—boosted by a new U.S. excise tax that favors digital transfers over cash/money orders. Banking Stablecoins: A group of 21 banks led by Goldman Sachs and Bank of America plans a dollar-pegged stablecoin company in 2027, aiming to bring bank-grade compliance to mainstream use cases. Capital Markets (Tokenized Securities): Bitfinex Securities listed tokenized notes tied to Bitcoin-treasury companies Strategy and Metaplanet, offering eligible investors economic exposure via regulated products. Construction & Industry: Cemento Panam (Grupo Estrella) acquired Cementos Fortaleza’s Acajutla plant in El Salvador, adding 350,000 tons of annual capacity and strengthening regional cement supply chains. Economy (Growth & Power): El Salvador upgraded its 2026 GDP growth projection to 5%, while reporting efforts to keep the power grid stable despite El Niño-driven hydroelectric drops. Education & Talent: Four Salvadoran students were selected to represent the country at the Ibero-American Biology Olympiad in Brazil. Policy Watch: TPS for more than 200,000 Salvadorans in the U.S. is set to end Sept. 9, with calls for an extension.

Stablecoin Push by Major Banks: Goldman Sachs, Bank of America, Citi and Deutsche Bank plan a dollar-pegged stablecoin via a new company in 2027, signaling banks want a bigger role in crypto payments. Tokenized Securities in El Salvador: Bitfinex Securities expanded regulated tokenized offerings with five Bitcoin-treasury-linked products, regulated by El Salvador’s digital assets commission. Construction & Tourism Lift Growth: El Salvador’s Central Bank raised its 2026 GDP forecast to 4.5%–5%, citing construction, industrial activity and tourism momentum. Power Grid Resilience: ETESAL says no rationing is needed despite a 34% hydro drop tied to El Niño, with LNG and thermal generation covering the gap. Cement Expansion: Grupo Estrella acquired Cementos Fortaleza in El Salvador, adding the Acajutla plant (350,000 tons/year) and strengthening its regional cement footprint. Early Childhood Education Funding: El Salvador will invest $12.67M to improve public early childhood centers, including books and musical instruments for about 246,000 children. TPS Deadline for Salvadorans in the U.S.: With TPS scheduled to end Sept. 9, Salvadoran groups are urging the U.S. to extend protections for more than 200,000 people.

Macroeconomy Update: El Salvador’s Central Reserve Bank (BCR) lifted its 2026 GDP growth outlook to 4.5%–5.0%, up from 3%–3.5%, citing momentum in construction, industry, and tourism. Power & Energy Security: ETESAL says El Niño-driven hydro drops won’t trigger rationing, pointing to a diversified generation mix and heavy LNG/thermal support. June Growth Print: The economy grew 5.2% in June and averaged 4.6% in the first half, with construction (+10.7%) leading. Early Childhood Education Push: With World Bank support, El Salvador will invest $12.67M to improve public early childhood centers, distributing books, musical instruments, and play-based learning materials for about 246,000 children. Infrastructure & Connectivity: The Apopa Bypass project advanced to the bidding stage, aiming to reroute traffic around Apopa and cut congestion. Digital Assets & Finance: Falcon Finance launched a regulated tokenization pipeline in El Salvador, using a GPU forward structure tied to its USDf stablecoin. Tourism Boost: Condé Nast Traveler named El Imposible National Park a 2026 “must-visit” wonder.

Tourism Spotlight: Condé Nast Traveler named El Imposible National Park one of its 2026 “must-visit wonders,” putting El Salvador’s nature and coffee-linked heritage back in the global travel spotlight. Infrastructure & Transport: The MOP opened bids for the Apopa Bypass, a 4.8 km, four-lane project with 12 bridges meant to reroute traffic around Apopa and cut congestion. Energy & Investment: ETESAL is pushing a $1B national power-grid expansion over the next decade, adding substations and transmission to attract data/tech demand and integrate more renewables. Education & Workforce: El Salvador trained 169 technical education teachers in digital transformation, while a $9M KOICA-backed UES Technological Innovation Center aims to connect lab research to industrial manufacturing needs. Tech & Industry: Falcon Finance launched a regulated tokenization pipeline in El Salvador, using a GPU forward to finance compute infrastructure and linking issuance to its USDf stablecoin. Climate Impact on Farmers: El Niño is crushing corn yields for small producers, with drought wiping out most of planted land and pushing households toward debt and food insecurity.

Infrastructure & Transport: El Salvador opened bids for the Apopa Bypass, a 4.8 km, four-lane road project with 12 bridges (including a cable-stayed span) to reroute traffic between Carretera de Oro and Troncal del Norte and cut congestion. Energy & Investment: ETESAL is pushing a $1B, 10-year national power grid expansion to add substations, transmission lines, and storage, aiming to attract high-demand sectors like tech and data. Education & Skills: KOICA and El Salvador secured a $9M grant to build a UES Technological Innovation Center (2026–2031) for automation, prototyping, digital fabrication, and industry-linked startups; meanwhile, 169 technical teachers completed a Digital Transformation program with AI and automation training. Tech & Industry Talent: El Salvador selected national robotics champions for WRO’s international final and highlighted student projects blending robotics with culture and heritage protection. Trade & Exports: Export revenue hit $4.04B in Jan–Jul 2026, up 4.4% year-on-year, with growth in the U.S., plus faster gains in Mexico, Canada, and China. Agribusiness & Regional Health: El Salvador joined regional efforts to strengthen agricultural disease surveillance with OIRSA partners to protect cross-border production and trade. Tourism & Markets: El Salvador’s tourism momentum continues as visitor numbers and receipts rise, supporting construction and hospitality activity.

Education & Skills: KOICA is funding a $9M Technological Innovation Center at the University of El Salvador (UES) (2026–2031), linking labs in automation, prototyping and digital fabrication to private-sector manufacturing needs. Power & Investment: ETESAL’s $1B National Expansion Plan targets grid modernization, more substations and storage, and a Sept. 28 Morazán substation launch to support renewables and new tech/data demand. Robotics & Workforce Pipeline: El Salvador selected national robotics champions after a WRO Olympiad, and 169 technical teachers completed a Digital Transformation for Technical Teaching program with AI and automation training. Trade & Exports: Coexport says export revenue hit $4.04B in Jan–Jul 2026 (+4.4% y/y) with record shipment volume; the U.S. remains the top market while Mexico, Canada and China also grew. Tourism & Specialty Coffee: Tourism momentum continues as international arrivals and receipts rise, while El Salvador pushed premium specialty coffee via an exclusive Peru tasting and expanded its specialty reach. Energy Transition Funding: IRENA opened a call for renewable project proposals across Central America and the Caribbean, including El Salvador, for potential financing and de-risking support.

Education & Innovation Funding: KOICA is funding a $9M Technological Innovation Center at the University of El Salvador (UES) to link R&D with manufacturing needs, running 2026–2031 with labs for automation, prototyping, digital fabrication, and training for researchers. Power & Investment Climate: ETESAL is pushing a $1B national power grid expansion plan over the next decade, adding substations and transmission lines and preparing new capacity to attract data/tech demand, with a Morazán substation scheduled to break ground Sept. 28. Skills Pipeline: 169 technical education teachers completed a Digital Transformation for Technical Teaching program with 240 hours of training, including AI and automation tools, to modernize classroom instruction. Robotics for Local Problems: El Salvador’s National Robotics Olympiad selected national robotics champions to represent the country at WRO International Final in Puerto Rico, with projects tied to culture and heritage protection. Trade & Exports: Export revenue hit $4.04B in Jan–Jul 2026, up 4.4% year-on-year, with stronger shipments to the U.S. plus growth to Mexico, Canada, and China. Agriculture & Regional Health: IRENA is inviting renewable project proposals across Central America and the Caribbean, including El Salvador, to speed renewable financing and deployment. Specialty Coffee Push: El Salvador promoted specialty coffee in Peru via an exclusive tasting featuring Cuscatleco, Bourbon, and Pacamara to open premium distribution channels.

Export Momentum: El Salvador’s export sector posted $4,036.7M in revenue from January to July 2026, up 4.4% year-on-year, with shipment volume hitting a record 2,447.7M kg (+10.7%), led by the U.S. but with faster gains in Mexico (+21.5%), Canada (+93.3%) and China (+28.2%). Tourism Push: El Salvador is leaning hard into travel growth, with tourism receipts up 215% vs pre-pandemic levels and projections pointing to $3.6B in 2026 as visitor numbers keep climbing. Coffee Trade Diplomacy: The country promoted specialty coffee in Peru via an exclusive Lima tasting featuring Cuscatleco, Bourbon and Pacamara, aiming to open premium distribution channels. Energy & Climate Finance: IRENA invited renewable project proposals across Central America and the Caribbean, including El Salvador, for potential support via its Climate Investment Platform and Energy Transition Accelerator Financing. EV Charging Expansion: Anari Energy says its DC chargers are now operational in El Salvador and other markets, and it has entered El Salvador’s EV charging space for the first time with new wallbox deployments. Education & Skills: The U.S. Embassy’s “English for a Better Future” program marked five years, reaching 4,600 participants and 500 volunteers through community-focused English learning.

Export Momentum: El Salvador’s export sector posted $4,036.7M in revenue Jan–Jul 2026, up 4.4% year-on-year, with shipment volume hitting a 2017–2026 record (2,447.7M kg, +10.7%). Tourism Boom: The country is being framed as Central America’s newest travel powerhouse, with 2025 arrivals reaching 4.1M and tourism receipts up 215% versus pre-pandemic levels. Coffee Trade Diplomacy: El Salvador pushed specialty coffee into Peru via an exclusive tasting in Lima featuring Cuscatleco, Bourbon and Pacamara, aiming to open premium distribution channels. Regional Agriculture Watch: Belize and other OIRSA members agreed to strengthen cross-border disease surveillance and standardized prevention at borders, ports and airports. Sports Media Deal: INDES and FESFUT partnered with FOX Central America to broadcast Liga de Ascenso across the region for 2026–2028, boosting visibility and club sustainability. Cybersecurity: Dark Caracal upgraded its toolkit with GoCaracal and an Ethereum-based fallback after a June 2026 Venezuela intrusion, keeping operations resilient. Local Science: El Salvador reported its first documented gynandromorphic cattle tick (Rhipicephalus microplus) found during national surveillance.

Tourism & Investment: Gray Line launched operations in El Salvador with a modern fleet and plans to expand in October, as tourism revenue hit $2.1B by June 2026 and international arrivals near 3M. Sports Business: INDES and FESFUT partnered with FOX Central America to broadcast El Salvador’s Liga de Ascenso across the region for 2026–2028, aiming to professionalize second-tier clubs and attract sponsors. Energy & Industry: Energía del Pacífico completed its 40th LNG unloading in El Salvador, underscoring steady gas supply for power generation. Economy Outlook: Industrial activity and public-private coordination are supporting a 4.5% GDP growth forecast for 2026, with the BCR citing strong early-year momentum. Education & Human Capital: Bukele announced 50,000 scholarships for public high-school graduates, tied to university, technical and vocational pathways. FDI & Construction: El Salvador’s construction sector drew $83.1M in FDI in Q4 2026, with construction credit rising sharply as projects expand.

Tourism & Investment: Gray Line launched operations in El Salvador, betting on the country’s safety turnaround and tourism momentum, with the sector reaching about $2.1B in revenue by June 2026 and tourism near 10% of GDP. Sports Business: INDES and FESFUT signed a regional media deal with FOX Central America to broadcast El Salvador’s Liga de Ascenso across Central America for 2026–2028, aiming to boost club sustainability and sponsorship interest. Energy & Industry: Energía del Pacífico completed its 40th LNG unloading in El Salvador, underscoring steady fuel supply for power generation. Construction & Growth: El Salvador’s construction sector attracted $83.1M in FDI in the last quarter of 2026, while credit to construction rose 32.7% year-over-year by March 2026. Education & Human Capital: Bukele’s “El Salvador Renace” event highlighted 50,000 scholarships for public high-school graduates, tied to university and technical pathways. Digital Assets: Bitfinex Securities completed a record $50M tokenized raise for Alkemya via the ALKN nickel token, under El Salvador’s digital asset rules.

Construction & FDI: El Salvador’s construction sector pulled in $83.1M in foreign direct investment in Q4 2026, with imports of construction inputs and capital goods rising and bank credit to construction up 32.7% YoY to $1.55B by March. Growth Outlook: Industrial leaders say El Salvador is positioned for 4.5% GDP growth in 2026, citing strong early-year momentum and upgraded forecasts from IMF/ECLAC. Energy & LNG Supply: Energía del Pacífico completed its 40th LNG unloading in El Salvador, receiving the SM BLUEBIRD with 41,444 m3 of LNG. Education Investment: Bukele’s education push is drawing international attention, including plans to raise annual education spending above $3B (over 8% of GDP) and fund 50,000 scholarships via long-term financing. Trade & Agriculture Resilience: El Salvador secured duty-free access for 250+ products in a Bolivia partial-scope deal, while using Google satellite tech to help farmers manage El Niño risks and protect basic grains. Digital Assets & Metals: Bitfinex Securities launched a $50M tokenized nickel raise (ALKN), backed by a valued $1.64B nickel wire base, with subscriptions open until Oct. 15.

Education & Human Capital: Kuwait Fund for Arab Economic Development (KFAED) is eyeing expansion of El Salvador’s “Two Schools a Day” after visiting San Salvador schools, while President Nayib Bukele’s education push is drawing international attention for boosting annual education spending above $3B (over 8% of GDP) and launching 50,000 scholarships backed by a $100M IDB financing deal. Energy & Climate Resilience: El Salvador signed a KD 3m ($9.7m) KFAED loan for the San Matías solar plant, and with Google satellite tech it helped farmers adjust planting and protect basic grains during El Niño-linked drought. Trade & Exports: El Salvador secured duty-free access for 250+ products under a landmark Partial Scope Agreement with Bolivia, cutting tariffs from up to 40% to 0% for selected goods. Tourism Momentum: Tourism revenue hit $2.1B in H1 2026 (+10%), with international arrivals near 3M (+24% YoY). Tech & Cyber: Ortus Solutions brought BoxLang and BoxLang AI to Salvadoran business and tech leaders, while Dark Caracal added a new malware framework to its cyber-espionage toolkit. Crypto Reality Check: Bitcoin payments at El Zonte (Bitcoin Beach) have reportedly “practically non-existent” for many merchants, as card use rises.

El Niño Emergency Watch: El Salvador and Panama raised nationwide alerts as El Niño drives extreme drought, heat, and flooding—El Salvador says 20% of basic grain crops were destroyed, while Panama reports rainfall deficits and water-stress hitting watersheds and even Panama Canal traffic. Trade & Industry: El Salvador secured duty-free access for 250+ product lines under a landmark Partial Scope Agreement with Bolivia, cutting tariffs on sectors like food, textiles, and veterinary pharmaceuticals. Agri Tech for Resilience: With Google satellite monitoring, MAG mapped high-risk zones and shifted planting schedules, supporting drought-tolerant seeds and irrigation to plant 160,000 manzanas of basic grains. Energy Investment: KFAED signed a $9.7M loan for the San Matías solar plant (11MW), aiming to expand clean generation and grid reliability. Tourism Momentum: Tourism revenue hit $2.1B in H1 2026 (+10%), with 2.9M international visitors by July (+24% YoY). Education Push: Bukele unveiled 50,000 scholarships backed by a $100M IDB deal to fund education from university onward. Bitcoin Reality Check: Reports from Bitcoin Beach suggest BTC payments have “practically non-existent” locally, with card use rising.