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Competitive Costs

 

 

El Salvador is one of the most attractive countries within the region to set up and operate a business. Over the past years, The Financial Times journal fDi Intelligence ranked El Salvador among the best cost-effective country in the region.

 

 

 

El Salvador’s Labor Code regulates employer-worker relations. Salvadoran legislation states that wages are determined freely, but cannot be lower than the minimum wage established by the National Wage Council, revised at least every three years.

 

Wage:

Agro-Industry

Industry

Trade and Service

Textile and Apparel Maquila

 

Hour

$0.83

$1.25

$1.25

$1.23

 
 

Day

$6.67

$10.00

$10.00

$9.84

 
 

Month

$202.88

$304.17

$304.17

$299.30

 












 

 

 

El Salvador offers investors industrial land in free zones and service parks where companies can benefit from generous tax incentives and can access quality services to operate and export their products and services to foreign markets. 

 

 

El Salvador is one of the countries with the most competitive electricity rates in the region for industrial and commercial users.

The different rates for El Salvador, are:

 

 

The telecommunications market is characterized by having multiple suppliers offering a variety of voice and data services and value-added solutions that meet customer needs.

Corporate customers may request different bandwidths and get reduced preferential rates, depending on the contracted plan.

 

Dedicated Internet, with HDSL technology Rate
 

 

Monthly fee of a dedicated internet link,

bandwidth from 2 Mbps to 10 Mbps,

$299 - $1,100

 
 

Installation costs 

$150 - $300

 
 

Fixed Telephones

 

 
 

Fixed rate for a commercial operation (monthly)

 $14.17

 
 

Local rate per minute 

 $0.03

 
 

Nacional rate per minute 

 $0.05

 
 

Rate per minute to a mobile phone

 $0.11 - $0.21

 
 

Rate per minute for calls to the United States 

$0.05 - $0.418

 
 

Mobile Phones*

 

 
 

Minute rate on same network, landline

$0.05 - $0.17

 
 

Minute rate on another network, landline

$0.065 - $0.17

 
 

Minute rate on same network, mobile phone

$0.05  - $0.09

 
 

Minute rate on another network, mobile phone

$0.05 - $0.17

 

 

* Rates for postpaid plans

Source: SIGET and operators (2011)


 

According to the World Economic Forum, El Salvador ranks as the country with the lowest tax rate in the region (ranked number 56 globally).

 

Actualizado 11/12/2019
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