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Rebounding Imports To Outpace Exports And Remittances, Flip Salvadoran Current Account To Deficit In 2021

Country Risk / El Salvador / Mon 30 Aug, 2021

Key View

  • El Salvador’s current account balance will flip from a modest surplus of 0.5% of GDP in 2020 to a 1.7% deficit in 2021 as the country’s economic recovery drives robust import demand.
  • That said, rebounding global economic activity will support demand for Salvadoran exports in the quarters ahead and falling unemployment in the US
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