IDEAS home Printed from https://ideas.repec.org/a/bdz/ssosch/v4y2025i1p48-52.html

Remittances and Economic Stability in El Salvador: Trends from 2000 to 2020

Author

Listed:
  • José Alberto M. Calderón

    (Universidad de El Salvador, San Salvador, El Salvador)

  • Ana Beatriz H. Castillo

    (Universidad de El Salvador, San Salvador, El Salvador)

Abstract

Remittances have emerged as a cornerstone of El Salvador’s economy, significantly contributing to household income, poverty reduction, and macroeconomic stability. Between 2000 and 2020, remittance inflows grew steadily, accounting for nearly 20% of GDP by 2020. This paper explores the historical trends and macroeconomic implications of remittances, emphasizing their role in addressing key economic challenges and fostering community investments in education, healthcare, and housing. However, the analysis also highlights potential risks of remittance dependence, including labor market distortions and vulnerability to external economic shocks. Policy recommendations focus on leveraging remittances for sustainable development while reducing reliance on external financial inflows through diversification and local economic strengthening.

Suggested Citation

  • José Alberto M. Calderón & Ana Beatriz H. Castillo, 2025. "Remittances and Economic Stability in El Salvador: Trends from 2000 to 2020," Studies in Social Science & Humanities, Paradigm Academic Press, vol. 4(1), pages 48-52, January.
    • Handle: RePEc:bdz:ssosch:v:4:y:2025:i:1:p:48-52
    DOI: 10.56397/SSSH.2025.01.07
    as

    Download full text from publisher

    File URL: https://www.paradigmpress.org/SSSH/article/view/1498/1329
    Download Restriction: no
    File URL: https://libkey.io/10.56397/SSSH.2025.01.07?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bdz:ssosch:v:4:y:2025:i:1:p:48-52. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Editorial Office (email available below). General contact details of provider: https://www.paradigmpress.org/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.